BlackRock transferred 1,800 BTC to Coinbase Prime, triggering doubts about possible sales. We analyse the implications of this move.
Investment firm BlackRock has transferred 1,800 Bitcoins (BTC) to Coinbase Prime. According to the exchange, the value of these BTCs amounts to $160 million.
This development is fuelling debate and raising questions: is this normal liquidity management, selling pressure or a strategic shift?
BlackRock Moves Bitcoin - A Signal of What?
The news comes from Arkham Intelligence, a blockchain analytics company, which shared the information on X (formerly Twitter).
However, looking closer, the transfer seems less dramatic. It is in fact linked to the management of IBIT (iShares Bitcoin Trust), a Bitcoin spot fund managed by Coinbase Prime. This suggests that the transfer of the 1,800 BTC could be motivated by portfolio rebalancing, liquidity management or the need to facilitate investor redemptions, rather than a direct sale in the market.
An important point to note is that the transfer coincides with outflows from IBIT ETFs. According to SoSoValue, the IBIT Trust has seen outflows in excess of $160 million, which explains the need for liquidity adjustments.
BlackRock is not just trading Bitcoin: the Arkham Intelligence report shows that the ETHA fund (iShares Ethereum Trust ETF) has deposited 18,168 ETH on Coinbase Prime.
Bitcoin Drops Below $90,000
The transfer of these Bitcoins comes during a bearish period for the crypto sector. Bitcoin recently fell below the $90,000 mark for the first time since last November, mainly due to the sale of BTC ETFs. Exchange-traded funds have seen huge outflows, keeping Bitcoin in a downtrend.
Currently, Bitcoin is trading at $88,406, down nearly 4% in the past 24 hours. The Fear and Greed index is at 21, signalling strong fear in the crypto market. This indicates that investors are acting cautiously and selling their assets due to falling prices.
The entire crypto market is experiencing a downward trend. According to Coinglass, nearly $1 billion in leveraged positions have been liquidated in the past 24 hours. Of this total, 847 million came from long positions, with the rest from short positions. The long positions bet on a price increase, while the shorts bet on a decline.
These liquidations and market movements suggest a new bearish trend, characterised by increased volatility and risk for Bitcoin and other cryptocurrencies.
An analysis of the returns of Bitcoin, Ethereum, BNB, Litecoin and Monero shows that the 'Santa Rally' is not guaranteed: rises only occur in positive macro phases.
Investment firm BlackRock has transferred 1,800 Bitcoins (BTC) to Coinbase Prime. According to the exchange, the value of these BTCs amounts to $160 million.
This development is fuelling debate and raising questions: is this normal liquidity management, selling pressure or a strategic shift?
BlackRock Moves Bitcoin - A Signal of What?
The news comes from Arkham Intelligence, a blockchain analytics company, which shared the information on X (formerly Twitter).
The post reported:
"BlackRock is selling BTC."
X
The message spread quickly in the crypto community, with many interpreting this move as a sign that BlackRock is liquidating Bitcoin.
At the news, one X user, Sake, commented:
X
However, looking closer, the transfer seems less dramatic. It is in fact linked to the management of IBIT (iShares Bitcoin Trust), a Bitcoin spot fund managed by Coinbase Prime. This suggests that the transfer of the 1,800 BTC could be motivated by portfolio rebalancing, liquidity management or the need to facilitate investor redemptions, rather than a direct sale in the market.
An important point to note is that the transfer coincides with outflows from IBIT ETFs. According to SoSoValue, the IBIT Trust has seen outflows in excess of $160 million, which explains the need for liquidity adjustments.
BlackRock is not just trading Bitcoin: the Arkham Intelligence report shows that the ETHA fund (iShares Ethereum Trust ETF) has deposited 18,168 ETH on Coinbase Prime.
Bitcoin Drops Below $90,000
The transfer of these Bitcoins comes during a bearish period for the crypto sector. Bitcoin recently fell below the $90,000 mark for the first time since last November, mainly due to the sale of BTC ETFs. Exchange-traded funds have seen huge outflows, keeping Bitcoin in a downtrend.
Currently, Bitcoin is trading at $88,406, down nearly 4% in the past 24 hours. The Fear and Greed index is at 21, signalling strong fear in the crypto market. This indicates that investors are acting cautiously and selling their assets due to falling prices.
The entire crypto market is experiencing a downward trend. According to Coinglass, nearly $1 billion in leveraged positions have been liquidated in the past 24 hours. Of this total, 847 million came from long positions, with the rest from short positions. The long positions bet on a price increase, while the shorts bet on a decline.
These liquidations and market movements suggest a new bearish trend, characterised by increased volatility and risk for Bitcoin and other cryptocurrencies.
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