Institutional Investors Hold 20% of US-Traded Spot Bitcoin ETFs: Data Analysis

Institutional investors are increasingly turning to Bitcoin exchange-traded funds (ETFs) as a way to gain exposure to the cryptocurrency market. Recent data shows that these investors now hold approximately 20% of all US-traded spot Bitcoin ETFs, with over 193,000 BTC in their portfolios.

According to CryptoQuant CEO Ki Young Ju, a total of 1,179 institutions have invested in US-traded spot Bitcoin ETFs, including major players like Millennium Management, Jane Street, and Goldman Sachs. The data also reveals that BlackRock’s iShares Bitcoin Trust ETF (IBIT) leads in terms of absolute amount, with over 71,000 BTC held by institutional investors.

Grayscale’s GBTC and ARK 21Shares’ ARKB also have significant institutional participation, with 44,707.89 BTC and 17,166 BTC held by institutions, respectively. On the other hand, Grayscale’s Bitcoin Mini Trust and CoinShares Valkyrie ETF (BRRR) have the least institutional participation and smallest absolute amount in Bitcoins, respectively.

The correlation between Bitcoin ETF flows and the cryptocurrency’s price has become stronger in recent months, according to a VanEck report. The surge in institutional interest in Bitcoin ETFs may have contributed to the cryptocurrency’s 11% price increase in October, reaching $67,478. VanEck suggests that this growing demand from institutions could continue to drive Bitcoin’s price upward in the near future.

Overall, the increasing adoption of Bitcoin ETFs by institutional investors is a clear indication of the growing interest in cryptocurrencies as a legitimate asset class. As more institutions enter the market, the impact on Bitcoin’s price and overall market dynamics is likely to become even more significant.