Franklin

Bitcoin ETF

Bitcoin

April

when

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/bitcoin-reserves-hit-three-year-low" data-wpel-link="internal">Bitcoin Reserves Hit Three-Year Low</a><br></p>
<p style="text-align: justify">As of June 19, 2024, <a href="https://en.bitcoinhaber.net/bitcoins-potential-surge-to-74000" data-wpel-link="internal">Bitcoin</a> exchange reserves have fallen to their lowest point in three years. CryptoQuant’s latest analysis shows that only 2,825,703 Bitcoins are currently held on exchanges, a significant drop from the 3,039,000 recorded in January 2024. This decline suggests lower selling pressure and potentially significant supply shocks, given the limited availability of Bitcoin for purchase.</p> 
<h2 id="what-is-causing-the-decline">What Is Causing the Decline?</h2> 
<p style="text-align: justify">The approval of Bitcoin ETF funds in the United States in January 2024 has played a critical role in this development. Major asset managers, including BlackRock, have increased their Bitcoin holdings, putting additional strain on the supply. As of June 6, BlackRock’s iShares Bitcoin Trust alone holds approximately 274,000 Bitcoins, contributing to the overall exchange reserve reduction.</p> 
<p style="text-align: justify">In May 2024, crypto asset funds saw monthly inflows reaching $2 billion, primarily driven by Bitcoin investments. According to Coinshares’ June 17 Weekly Fund Flows report, Bitcoin investment vehicles now hold an estimated $73 billion worth of the digital asset globally. However, there was a notable weekly outflow of $621 million in mid-June 2024, the highest since March 2024, likely influenced by the Federal Reserve’s hawkish stance on <a href="https://finance.coin-turk.com/" rel="nofollow noopener" target="_blank" data-wpel-link="exclude">interest rates</a>.</p> 
<h2 id="how-are-institutional-investors-reacting">How Are Institutional Investors Reacting?</h2> 
<p style="text-align: justify">Despite growing institutional interest, experts like Franklin Templeton CEO Jenny Johnson argue that institutional adoption is not proceeding rapidly. Johnson suggests that the current wave comprises early adopters and that larger institutions will enter the market soon. If this prediction holds, further institutional investment could exacerbate the already tight supply of Bitcoin.</p> 
<h2 id="key-insights-for-investors">Key Insights for Investors</h2> 
<p style="text-align: justify">Here are some crucial points for investors to consider:</p> 
<ul> 
 <li>Institutional accumulation continues to pressure available Bitcoin supply.</li> 
 <li>Bitcoin ETFs have significantly impacted the market dynamics since their approval.</li> 
 <li>Recent substantial outflows from Bitcoin investment vehicles signal heightened market volatility.</li> 
 <li>Bitcoin’s halving event in April 2024 has further reduced the available supply.</li> 
</ul> 
<p style="text-align: justify">The halving event in April 2024, which slashed the block mining reward from 6.25 to 3.125 Bitcoins, has also contributed to supply constraints. This reduction in newly mined Bitcoins adds another layer of scarcity, likely affecting <a href="https://newslinker.co" target="_blank" rel="noopener nofollow" data-wpel-link="exclude">future</a> market behavior.</p> 
<p style="text-align: justify">In conclusion, the combination of institutional accumulation and supply reductions, both from exchange reserves and the recent halving, suggests a potentially volatile market ahead. Investors should remain vigilant and consider these factors when making decisions.</p> 
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/bitcoin-reserves-hit-three-year-low" data-wpel-link="internal">Bitcoin Reserves Hit Three-Year Low</a></h5>

Bitcoin Reserves Hit Three-Year Low

Obsah

BH NEWS

Ďalšie články zverejnené 20. 6. 2024

MicroStrategy Expands Bitcoin Holdings with $786M Purchase of 11.9K BTC

Shiba Inu Scores Another Major Adoption With Latest Crypto.Com Announcement

Shiba Inu and STRUMP See Huge Losses, While Rampant AI Meme Coin Raboo Remains Unstoppable

Memecoins with 100X Potential That Most Are Missing

The FIO Token: Driving Blockchain Innovation

Binance Lists LayerZero Cryptocurrency

Pripojte sa k nášmu bezplatnému bulletinu a získajte denné aktualizácie kryptomien!