JP Morgan analysis: Is Grayscale’s GBTC profit selling almost over?

10 months ago 72

Approximately 500 million dollars worth was sold last night.

In its latest report, JP Morgan analyzed that investors have almost finished taking profits (outflows) from the Grayscale Bitcoin ETF GBTC. CoinDesk reported on the 26th.

Since GBTC was approved and trading began on January 11, a total of approximately $4.4 billion in Bitcoin has been sold due to outflows due to profit taking. (9 days data)

Day 9 complete for the #Bitcoin ETFs. BlackRock only took in $66 million. -$158 million outflow for the entire group which is the largest single day net outflow so far pic.twitter.com/I8dsFMs9vT

— James Seyffart (@JSeyff) January 25, 2024

Also, last night, GBTC sold about $500 million worth of Bitcoin (12,200 BTC).

According to Arkham, at 22:14 UTC+8 on January 25, Grayscale once again transferred 12,200 BTC to Coinbase Prime Deposit, worth approximately $487 million. https://t.co/79xyMqJylW

— Wu Blockchain (@WuBlockchain) January 25, 2024

Two weeks ago, JP Morgan predicted a GBTC outflow of up to $3 billion, but this time it said, “Since $4.3 billion has already come out of GBTC, we can conclude that GBTC profit-taking is almost already over. “This means that most of the downward pressure on Bitcoin has passed.”

connection: JP Morgan analysis Will the profit taking of Bitcoin ETF “GBTC” further accelerate selling pressure?

Additionally, according to JPMorgan estimates, about $1.3 billion of the funds outflowing from GBTC were shifted to Bitcoin ETFs, which have lower fees.

On the other hand, regarding the situation on the 25th trading day, Fidelity’s FBTC inflow was the highest at +$125 million, and BlackRock’s IBIT also had an inflow of $66 million, but GBTC’s outflow was -429 million dollars. In dollar terms, a negative net flow of $158 million was recorded for the day.

connection: 9 Bitcoin ETFs including BlackRock bought over 100,000 BTC in the past week