BlackRock Sweeps Up $1.4 Billion in Bitcoin Fund… A Signal for Breaking $80,000?

▲ BlackRock Bitcoin/ChatGPT generated image ©

As massive institutional capital pours in, BlackRock, the world's largest asset manager, is solidifying its dominant position by absorbing funds from the Bitcoin (BTC) spot fund market like a black hole.

According to TradingNews, an investment media outlet, on April 23 (local time), BlackRock's spot product monopolized $1.4 billion, accounting for 73% of the total $1.9 billion inflow into Bitcoin spot ETFs over the past seven trading days. Although the fund's price slightly decreased to $44.05, it currently holds approximately 809,870 Bitcoins, achieving an overwhelming performance by dominating 62% of the U.S. spot fund market.

Outside the fund market, a fierce accumulation race among giant corporations is unfolding. Strategy, which recently changed its name, acquired an additional $2.54 billion worth in a single purchase, securing a total of 815,000 units and surpassing BlackRock's holdings. This suggests that institutions and corporations are aggressively absorbing spot quantities through different channels, rapidly depleting the overall market's circulating supply.

As massive capital pours in, the fee competition among asset managers has entered a new phase. Morgan Stanley's newly launched product, armed with a market-low fee of 0.14%, has accumulated $163 million since its launch without a single net outflow. In contrast, Grayscale's product, which maintains a high fee of 1.50%, experienced outflows exceeding $100 million during the same seven days when the entire market saw inflows, demonstrating investors' thorough cost optimization efforts.

This strong institutional capital inflow is spreading beyond Bitcoin to Ethereum (ETH) spot ETFs, injecting a total of $633.6 million for 10 consecutive days. Such explosive fund demand has completely offset macroeconomic headwinds like geopolitical tensions in the Middle East and concerns over delayed U.S. interest rate cuts, pushing the Fear & Greed Index, which reflects investor sentiment, up to 61.

Currently, related funds listed on the U.S. stock market are buying up enormous quantities in the spot market, amounting to approximately 50 times the daily mining volume. Experts predict that if Bitcoin stably maintains the key support level of $74,000, it will end its short-term correction and continue an unstoppable rally towards new all-time highs, leveraging the inexhaustible capital power of institutions.

*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.*