After the approval of the Spot Bitcoin ETF, BTC experienced a major decline and the price fell to $ 40,000.
Stating that the ETF approval was a “news sell” event, CryptoQuant said that various on-chain indicators indicate that the price correction may not be over yet, or at least a new rally is still not on the agenda.
At this point, CrpyoQuant's Research Manager Julio Moreno also made an evaluation and said that the general opinion that the decrease was related to Graysacele was not correct.
Because while Grayscale was selling Bitcoin, other ETFs purchased a total of approximately 72,000 Bitcoin.
At this point, Moreno said that the sales were caused by short-term Bitcoin investors taking profits and sales by large BTC holders.
“There is a narrative that the current Bitcoin price correction is due to Graysacle selling Bitcoin. But it is NOT due to Graysacel.
GBTC sold approximately 60,000 Bitcoins. Other ETFs combined net purchased approximately 72,000 Bitcoins.
The selling came from Bitcoin holders (short-term traders and whales) who took profits after last year's rally (ETF approval was a “sell the news” event).”
Finally, Monero also stated that it believes the GBTC exit is a temporary event and the decline will eventually end as the market adjusts to Bitcoin ETFs.
Additionally, according to CryptoQuant's data, it is estimated that GBTC could run out of Bitcoins by early April 2024 if Grayscale's selling trend continues and assuming a steady exit rate of 10,000 Bitcoins per day.
According to the data, Graysacle currently holds 566,973 Bitcoins.
*This is not investment advice.
Moreno vs. Monero HAHA