Bloomberg analyst Eric Balchunas said in a recent statement: Bitcoin He denied claims that the recent decline in price was due to Bitcoin Spot ETF investors.
This explanation cryptocurrency It was in response to analyst Willy Woo’s claim that the decline showed ETF investors’ inexperience.
“In the first dip, ETFs received $1.6 billion in outflows, while the Bitcoin network received total net inflows of $1.1 billion,” Woo said. “This means a lot of self-custodial investors are buying at the dip,” he said.
Balchunas: “It’s Not ETF Holders, It’s Former BTC Investors That Decreased Bitcoin Price”
However, Balchunas did not agree with this assessment. “Actually, the opposite is true,” Balchunas said. “The new ‘Boomer’ ETF investors (as we predicted) are the real strong investors, while other BTC holders are behind the selling pressure,” he said.
Balchunas revealed that nine new Bitcoin ETFs attracted nearly $1.2 billion in the last five days as the price fell 8%. While there were outflows in the Grayscale Bitcoin Trust (GBTC), Balchunas explained that this was largely due to Genesis investors exchanging GBTC holdings for spot BTC, resulting in a net neutral event.
“When we add these up, ETFs have actually been net buyers of BTC (and none of the new money has left, even more has entered),” Balchunas concluded.
*This is not investment advice.
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