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▲ BlackRock Bitcoin/ChatGPT generated image ©
As Bitcoin (BTC) firmly defends the psychological support level of $80,000 and attracts massive institutional capital, BlackRock's IBIT holdings are approaching approximately 4% of the total supply, initiating a countdown for a full-scale price surge.
According to the investment media outlet TradingNews on May 12 (local time), Bitcoin (BTC) is currently trading around $80,625 as of Tuesday afternoon, attempting to stabilize based on strong institutional buying. Notably, Bitcoin spot ETFs have recorded net inflows for six consecutive weeks, securing over $3.4 billion in new capital. Among them, BlackRock's 'iShares Bitcoin Trust (IBIT)' currently holds 821,000 BTC, accounting for 3.91% of the total supply, demonstrating overwhelming dominance by absorbing an additional $3 billion since April 2 alone.
The offensive from traditional finance is also strong. Morgan Stanley's launched Bitcoin spot ETF recorded approximately $200 million in net inflows within weeks of its listing, solidifying its position as a new institutional channel. BlackRock's parent company performance also supports this fervor. BlackRock recorded revenues of $6.7 billion and net income of $2.21 billion in the first quarter of this year, achieving astonishing growth rates of 26.9% and 46.5% respectively compared to the previous year. This demonstrates that Bitcoin spot ETFs have become a core revenue source for global asset managers, beyond being mere investment products.
The corporate accumulation race is also heated. MicroStrategy, led by Michael Saylor, invested $43 million between May 4 and 10 to add an additional 535 BTC to its treasury. This increased MicroStrategy's total holdings to 818,869 BTC, with an average acquisition cost of $75,543, currently placing it in a profit zone. Due to the combined accumulation by MicroStrategy and spot ETFs, a 'supply shortage' phenomenon is intensifying in the market, with approximately 2,250 BTC — five times the daily mining output of 450 BTC — being absorbed by institutions every day.
Technical indicators and market sentiment are also sending positive signals. Individual investor demand, which plummeted to -8.2% amid extreme fear in April, has recovered to 4.38% as of May 12, showing a healthy rebound. Notable points include the derivatives market's funding rates turning positive and CryptoQuant's bull-bear cycle indicator showing an initial bullish signal for the first time since March 2023. Furthermore, the upcoming launch of CME Bitcoin Volatility Futures on June 1 is expected to diversify Wall Street's hedging tools and elevate market maturity by another level.
The biggest watershed event that will determine Bitcoin's future is the outcome of the review of the U.S. cryptocurrency market structure bill, the CLARITY Act, scheduled for May 14 in the Senate Banking Committee. If the bill passes, regulatory uncertainty will be resolved, potentially leading to an unstoppable rally past $90,000 and even reaching the $100,000 mark. Experts view the current correction around the $80,000 level as a strong buying opportunity and maintain an exceptionally optimistic outlook, suggesting a potential rise to $150,000 by year-end depending on the CLARITY Act's passage.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
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