Cryptocurrency asset manager ByteTree Asset Management tracks the amount bitcoin (BTC) which is in different funds. The measurements start from 2018 and only since May 12, 2021 has there been an outflow of bitcoin from these funds for the first time. On May 12, the price of bitcoin was still at $57,000 and from ethereum (ETH) even at $4,355, but prices collapsed afterwards.
Last week, however, the amount of bitcoin flowed out of these funds faster than ever. On June 16, there was still a total of about 803,000 BTC in the bitcoin funds and on June 17 that total came to 782,674, a decrease of about 20,000 BTC or 2.5%. With that, the amount of bitcoin falls back to the level of February 25. On May 12, about 817,000 BTC was still in the funds.
The average inflow to bitcoin funds has also decreased considerably. The 30-day and 90-day intake already peaked at the end of January and are now lower than ever. The 7-day influx has been declining sharply, especially since the end of May.
7-day fund inflows of #Bitcoin started increasing in mid-October, reaching a peak in January this year and afterwards have started falling and even turned partly negative since mid-Mai. Interesting to note is that inflows started to decrease before Bitcoins recent ATH./1 pic.twitter.com/1exh8PUi0C
— Jan Wuestenfeld (@JanWues) June 17, 2021
Furthermore, on ByteTree we can see which are the largest bitcoin investment products on the market. Among listed products, Bitcoin Tracker Euro (XTBE) tops the list with 31,089 BTC, followed by 3iQ CoinShares Bitcoin ETF (QBTC.U) with 21,263 BTC. The largest (unlisted) bitcoin fund remains that of Grayscale Investments. The Grayscale Bitcoin Fund (GBTC) manages a whopping 653,847 BTC, however the premium price of the Grayscale fund is currently 15.6% below the value of bitcoin.
While market sentiment appears to be increasingly negative in the near term, many analysts still believe that the bull market is not over yet. Still, the second quarter of 2021 was the second worst quarter for bitcoin since 2014:
With two weeks left until the end of Q2, so far this has been the worst quarter for #Bitcoin in over 8 years. pic.twitter.com/IuN3RSlcP5
— unfolded. (@cryptounfolded) June 18, 2021
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