Genesis Intensifies GBTC Sales with Record $600 Million Exit in a Single Day
The cryptocurrency market has experienced a unique dynamic in recent days, marked by significant activity surrounding Bitcoin Spot ETFs. On one side, Grayscale and its Grayscale Bitcoin Trust (GBTC) have seen an acceleration in sales. On the other side, there have been positive net inflows into Bitcoin ETFs, with BlackRock and its iShares Bitcoin ETF (IBIT) leading the way.
Genesis-Driven Selling Pressure Likely
The acceleration in GBTC sales could be attributed to Genesis, a cryptocurrency lender that received approval from the bankruptcy court last month to sell 35 million shares of GBTC. This comes as GBTC recorded nearly $600 million in outflows on Thursday, marking its largest sales day since January 22. However, this phenomenon has been offset by inflows into other Bitcoin Spot ETFs, highlighting a redistribution of investment flows within the sector.
BlackRock: A New Force in the Bitcoin Universe
In parallel, BlackRock’s IBIT ETF continues to attract market attention, surpassing $10 billion in assets under management. This notable achievement comes amid a broader buying pressure driven by demand for Bitcoin Spot ETFs, as the price of BTC soared, surpassing $60,000 for the first time since November 2021.
Market Movements in Detail
The massive GBTC withdrawal may indicate that Genesis has begun or intensified the sale of its GBTC holdings, taking advantage of Bitcoin’s recent rise. Grayscale transferred nearly 10,000 bitcoins to Coinbase Prime, presumably in preparation for their sale, as GBTC outflows were moderate until this sudden peak.
However, the net inflows into other Bitcoin ETFs listed in the United States have more than offset GBTC’s massive sales. Despite a decline in net inflows to $92 million, the lowest level in a week, BlackRock’s IBIT ETF experienced a massive influx, with $604 million of fresh funds.
