BlackRock even dumped... Is an additional Bitcoin crash beginning?

▲ BlackRock Bitcoin/ChatGPT generated image ©

Bitcoin came under renewed sharp selling pressure as BlackRock's large sell-off volume poured out. Market anxiety is rapidly spreading as over $1 billion in sell transactions occurred in a single day from iShares Bitcoin Trust (IBIT), the largest US Bitcoin spot ETF.

According to Finbold, a cryptocurrency media outlet, on May 27 (local time), Bitcoin (BTC) turned bearish after failing once again to break through the previous week's resistance level near $78,000. As of the time of writing, Bitcoin was trading around $75,680, down approximately 2% over 24 hours, and its market capitalization also decreased by about $30 billion during the same period, falling to around $1.5 trillion.

The key reason for this decline was identified as BlackRock's large-scale IBIT sell-off. According to the media, on May 26, a single sell order worth $1.289 billion was executed via a Dark Pool in IBIT. A Dark Pool is an alternative trading system where large institutional investors can conduct massive securities transactions anonymously.

Specifically, a sell order of 29,212,864 shares occurred when the IBIT stock price was trading around $43.16. As a result, IBIT has continued its outflow trend for seven consecutive trading days. According to SoSoValue data, IBIT recorded a net outflow of $192.44 million on that day alone, and the cumulative net outflow over the past seven days expanded to $1.33 billion.

With selling pressure continuing across US Bitcoin spot ETFs, the future outlook is not bright, according to analysis. Finbold's AI financial analysis tool, 'Finbold AI Agent,' suggested the possibility of further declines in the coming days. This analysis predicted that Bitcoin could fall by an additional approximately 4% to retest the $72,884 support level by June 3.

In the market, changes in institutional fund flows are emerging as a key variable that will determine short-term price direction. In particular, concerns are growing that Bitcoin price volatility could further expand if the recent outflow of spot ETF funds continues.

*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.*