- BTC ETF inflows remained steady despite Bitcoin’s price correction.
- Miner revenues have soared in the past month.
After crossing the $70,000 mark, Bitcoin[BTC] witnessed a huge correction and came back to the $67,000 mark. Despite the price correction, interest in BTC was relatively high.
Everything about the influx
This was evident from the steady influx of BTC ETFs flooding into the market. Recent reports indicate that US Bitcoin ETFs have accumulated a total of 850,707 BTC since January this year.
This significant accumulation is led by Grayscale’s GBTC ETF, which, despite a notable reduction in its initial reserves, retains the largest share at 289,280 BTC.
BlackRock’s iShares Bitcoin Trust (IBIT) has shown remarkable growth, expanding its reserve from just 225 BTC at launch to an impressive 283,203 BTC.
Other major players in the US market include Fidelity’s Wise Bitcoin ETF with 160,620 BTC and the Ark 21Shares ETF (ARKB) with 48,414 BTC.
Additionally, smaller contributors such as the Bitwise Bitcoin ETF (BITB), VanEck Bitcoin Trust (HODL), and Valkyrie BTC ETF (BRRR) have notable holdings of 36,092 BTC, 9,729 BTC, and 8,561 BTC, respectively.
Further contributions come from Invesco Galaxy’s BTCO ETF, Franklin Templeton’s EZBC, and WisdomTree and Hashdex Bitcoin ETFs, with BTCO, EZBC, BTCW, and DEFI holding 7,245 BTC, 6,148 BTC, 1,237 BTC, and 178 BTC respectively.
On a global scale, Bitcoin ETFs have collectively accumulated 986,769 BTC. Canada’s Purpose Bitcoin ETF leads the way outside the US, holding 27,407 BTC.
The German ETC Group Physical Bitcoin Fund follows with 20,808 BTC, while the recently launched Hong Kong Bitcoin ETFs have built up a reserve of 3,608 BTC.
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This increase in BTC ETF accumulation, despite the price drop, indicated that interest in the king coin had continued to grow around the world. As adoption increases, BTC can benefit.
State of BTC
At the time of writing, BTC was trading at $66,865.51 as the price had fallen by 3.85% in the last 24 hours. One of the reasons for the price drop is said to be the fact that most short-term holders had become profitable due to the recent rise in the price of BTC, thus indulging in profit taking.
Although there had been a massive sell-off of BTC in recent days, the MVRV ratio remained high, implying that the number of profitable addresses was relatively high.
The danger of a massive sell-off still looms around BTC. On the plus side, the difference between long and short for BTC widened, implying that the number of long-term holders had soared.
Long-term owners are less likely to sell their assets during market fluctuations. Moreover, the velocity of BTC also decreased, indicating that the frequency with which BTC was traded had decreased.
This meant that more and more addresses were holding onto their BTC.
Source: Santiment
Read Bitcoin’s [BTC] Price forecast 2024-25
One factor that could influence the price of BTC would be the state of Bitcoin miners. When miners’ income declines, it encourages them to sell their assets to stay afloat.
At the time of writing, the miners were doing relatively well. Over the past month, daily revenue generated by miners had increased from $29,981,891 to $39,242,392.
Source: Santiment