Compass Investments

Crypto vs. Dollar

📌 This surge in demand has led ETF issuers to buy bitcoin at levels far in excess of new supply.

U.S. spot bitcoin funds hit 45,000 BTC in October. Btc

-U.S. spot bitcoin funds hit 45,000 BTC in October

the trading week of October 21-25

U.S. bitcoin ETFs buy five times more BTC than miners in a single week

U.S. spot bitcoin funds (ETFs) saw record inflows of more than $3 billion in October.

The amount of funds held in ETFs approached the 1 million BTC attributed to Satoshi Nakamoto, the creator of bitcoin.

Analysts noted that this concentration of bitcoin in ETFs could have an impact on asset prices. Bitcoin exchange traded funds (ETFs) had one of their strongest months since launching in January 2024, with inflows exceeding $3 billion in October.

this surge in demand, ETF issuers bought significantly more bitcoin than new supply.

According to HODL15Capital, 11 spot bitcoin ETFs bought a total of 15,194 BTC during the trading week of October 21-25, nearly five times the 3,150 BTC mined during that period. Inflows totaled about $1.83 billion this week, reflecting strong demand that has led to an unprecedented level of BTC purchases by ETF issuers.

If bitcoin sold today, this week or this year, it was bought by an ETF. Demand for bitcoin ETFs in the U.S. far exceeds new supply, but weak people are enthusiastically selling BTC day after day, week after week, writes HODL15Capital.

_ .

Since the beginning of October, these issuers have purchased a total of 45,557 BTC. This is the fourth-largest month of BTC purchases since the spot ETF was approved on Jan. 10, 2024.

nIn the meantime, aggressive buying has brought ETF issuers’ BTC holdings closer to the 1 million BTC mark: as of Oct. 25, bitcoin ETF issuers held a total of 977,122 BTC, which separates them from the 1 million BTC mark by 22,878 BTC. BlackRock has the largest at 403,714 BTC, representing nearly 2% of all bitcoins.

Notably, if the current rate of accumulation continues, the ETF fund could soon surpass Satoshi Nakamoto (pseudonym), the creator of the underlying asset.

ot even 10 months later, ETFs already own 97% of 1 million BTC and are 87% ahead of Satoshi in terms of assets, said Bloomberg ETF analyst Eric Bartunas.

Market observers note that ETF issuers now own a significant portion of the BTC supply, which is likely to increase their influence on market liquidity and price stability.

Bitcoin

Bitcoin

$82,065.24

BTC 2.72%

Ethereum

Ethereum

$3,189.05

ETH -1.02%

Binance Coin

Binance Coin

$624.43

BNB -2.71%

XRP

XRP

$0.59

XRP -0.05%

Dogecoin

Dogecoin

$0.29

DOGE 19.80%

Cardano

Cardano

$0.59

ADA 1.10%

Solana

Solana

$215.95

SOL 5.07%