Bitcoin spot ETFs are experiencing one of their strongest months since launching in January 2024, with inflows exceeding $3 billion so far in October.
This surge in demand has led ETF issuers to purchase Bitcoin at levels that far exceed the newly mined supply.
US Bitcoin Spot ETFs Accumulate 45,000 BTC in October
During the trading week of October 21-25, the 11 Bitcoin spot ETFs purchased a combined total of 15,194 BTC, which It is almost five times the 3,150 BTC mined in that periodaccording to data from HODL15Capital.
Inflows this week totaled around $1.83 billion, reflecting strong demand that has driven unprecedented levels of BTC purchases by ETF issuers.
“If you sold any Bitcoin today, this week or this year, it has been bought by ETFs. Bitcoin ETF demand in the US far exceeds new supply, but weak hands sell their BTC day after day, week after week,” wrote HODL15Capital.
Read more: What is a Bitcoin (BTC) ETF? Know the different types
BTC purchases by Bitcoin ETF in the US Source: HODL15Capital
Since the beginning of October, These issuers have collectively purchased 45,557 BTC. This is the fourth highest month of BTC purchases since spot ETFs received approval on January 10, 2024.
Meanwhile, aggressive buying has led holdings ETF issuers’ combined BTC close to 1 million BTC.
As of October 25, Bitcoin ETF issuers collectively held 977,122 BTC — just 22,878 BTC shy of the one million BTC threshold. BlackRock has the largest reserve of BTC, with approximately 403,714 BTC, which It amounts to almost 2% of the total Bitcoin supply.
BTC Holdings by Bitcoin ETFs in the US Source: HODL15Capital
Countdown to surpass Satoshi Nakamoto
It is notable that, if the current rate of ETF accumulation continues, their holdings combined they could soon surpass those of Satoshi Nakamoto, the pseudonymous creator of Bitcoin.
“They are not even 10 months old yet and ETFs are 97% of the way to having 1 million BTC, and 87% of the way to overtaking Satoshi,” declared Eric Balchunas, Bloomberg ETF analyst.
Market watchers have noted that, with ETF issuers now holding a substantial portion of the BTC supply, its influence on market liquidity and price stability will likely increase.
In fact, as ETFs continue to accumulate the cryptocurrency, there could be an increased risk of volatility during periods of high inflows or outflows, especially given the relatively fixed supply of BTC.
Analysts warn that such concentration could lead to greater price sensitivity in response to market dynamics.
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