After the U.S. Securities and Exchange Commission (SEC) approved all 11 Spot Bitcoin ETFs at the same time, SEC Chair Gary Gensler admitted that Grayscale’s court victory was the key reason behind approving spot Bitcoin ETFs. However, Grayscale has been moving Bitcoin to multiple addresses including crypto exchanges in the last 30 days.

Grayscale Dumping Bitcoin During Spot Bitcoin ETF Speculation

The first day of spot Bitcoin ETF was strong in terms of $4.6 billion in total trading volume. However, experts believe the Bitcoin inflows were much lower than expected, with GBTC recording $95 million of outflow. The total net flow for the day into the new ETFs was $625.8 million.

BitMEX Research data showed that on the second day of listing of the spot Bitcoin ETF, GBTC outflows were $484 million, and the total GBTC outflows in the previous two days were $579 million.

CryptoQuant founder and CEO Ki Young Ju in a post on January 13 revealed that Grayscale moved 21,400 BTCs worth over 900 million in the last 30 days. Grayscale sent bitcoins to multiple addresses including Coinbase, which indicates holders are selling as spot Bitcoin ETF approval came near.

Moreover, a breakdown of outflows from Grayscale wallets shows that the Grayscale BTC reserve wallet balance changed most recently. Grayscale sent 4,000 BTC worth $183 million to a Coinbase Prime deposit address yesterday. This could be due to investors switching their assets to other spot Bitcoin ETFs as it has the highest fee of 1.5%.

BTC price tumbled over 6% in the past 24 hours, with the price currently trading at $42,846. The 24-hour low and high are $0.643 and $0.664, respectively. Furthermore, the trading volume has decreased in the last 24 hours, indicating a decline in the interest of traders.

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Varinder has 10 years of experience in the Fintech sector, with over 5 years dedicated to blockchain, crypto, and Web3 developments. Being a technology enthusiast and analytical thinker, he has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers. With CoinGape Media, Varinder believes in the huge potential of these innovative future technologies. He is currently covering all the latest updates and developments in the crypto industry.

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