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- 🥜 ETH holders, pay attention
🥜 ETH holders, pay attention
PLUS: BlackRock Makes Moves
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What we’ve cooked up for you today…
🤔 BlackRock to flip Grayscale
📈 This is what happens next
💪 HODLer breakdown
💰 And more…
MARKET WATCH ⚖️
Prices as at 5:30am ET
Only the top 20 coins measured by market cap feature in this section
BLACKROCK TO FLIP GRAYSCALE 🏦
BREAKING: BlackRock’s IBIT inches closer, trails GBTC by just 4,561 BTC
The Bitcoin ETFs have once again recorded a full week of inflows.
(we’re so back)
In total the Bitcoin ETFs saw net inflows of $1.06 billion for the week.
That’s HUGE. 💰
With inflows of $1.06 billion, the Bitcoin ETFs purchased a combined 15,421 BTC for the week.
That’s 4.9x the amount of Bitcoin mined. 😱
Making the demand/supply dynamic kind of ridiculous…
And BlackRock continues to edge closer and closer to Grayscale.
The flippening is right around the corner. (for the title of largest BTC ETF)
Currently the gap is down to 1,873 Bitcoin:
🟢 BlackRock: 287,167 Bitcoin
🔴 Grayscale: 289,040 Bitcoin
It’s almost guaranteed that BlackRock overtakes Grayscale this week…
Now here’s a pretty interesting chart for you.
The US Bitcoin ETFs continue to climb up the commodity ETF leaderboard.
BlackRock and Grayscale convincingly take out 3rd place for largest commodity based ETFs.
But the thing is, their YTD performance absolutely destroys ever other asset…
Big money is forced to pay attention to returns like this….
This upcoming week is a big one for the ETFs.
We’ll likely see BlackRock flip Grayscale for largest BTC holdings.
And fingers crossed these crazy flows continue. 🤞
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THIS IS WHAT HAPPENS NEXT 📈
No one expected that the Ethereum ETFs were actually going to be approved.
It caught everyone off guard.
That’s the latest out from Matt Hougan.
Matt Hougan is the Chief Investment Officer at Bitwise, the 4th largest Bitcoin ETF issuer.
Safe to say he knows a thing or two about crypto ETFs…
However, in his latest interview, Matt explains that even Bitwise was caught off guard by the Ethereum ETF approval:
“No one expected an approval a week ago. As issuers, we were not moving towards approval, we had effectively stopped work on developing materials around an Ethereum ETF because there had been no back and forth with the SEC.”
And just as ETF analyst James Seyffart noted, Matt also believes this approval was politically motivated.
Recently, there’s been a complete attitude change in Washington:
SAB121 reversal vote - democrats supported revoking SEC rule
FIT21 passing congress - 70+ democrats voted in favour
But what happens next?
Well now we sit and wait for the S-1 approvals.
Matt explains:
“There’s another document called an S-1… The role of that document is to explain all the risks and disclosures around any investment. That still needs to be approved… That process can take weeks, it can take months, it doesn’t take days, it does take a little bit of back and forth. After [S-1 approval] happens you should see these ETFs launch either a day or two later.”
Expect to see S-1 amendments flowing through in the next couple of weeks.
Matt also gave a prediction on the amount of inflows we can expect to see once the Ethereum ETFs launch:
“I don't think Ethereum ETFs will match Bitcoin ETFs. Could we get $5 billion in inflows by the end of the year? I certainly think that’s possible. Could there be significantly more in future years? I definitely think that’s possible. Will it be enough to drive Ethereum to all time highs? I definitely think that’s possible as well.”
Bitcoin ETFs did ~$13.6 billion in their first 4 months.
(keep in mind, this amount of inflows broke every single ETF record ever…)
Matt predicts that the Ethereum ETFs will do less than half but more than a quarter of Bitcoin’s flows.
And that’s against a market with no net new supply…
(Ethereum’s burn mechanism makes it deflationary in the long-run)
That’s a BIG deal. 😎
HODLER BREAKDOWN 💪
Today we’ll be taking a look at the Long / Short-Term Holder Threshold.
Here’s how this metric works:
🔴 Short-Term Holders (STHs): coins that have been held for less than 155 days
🔵 Long-Term Holders (LTHs): coins that have been held for more than 155 days
🟥 Short-Term Holder Cost Basis: all coins purchased in this price range are STHs
🟦 Long-Term Holder Cost Basis: all coins purchased in this price range are LTHs
This metric is extremely powerful as we can see exactly what price STHs and LTHs purchased Bitcoin at. 🔎
The LTH / STH threshold is currently at 24th December 2023, back when Bitcoin was ~$43,000.
All coins purchased before this date are classified as LTHs.
All coins purchased after this date are classified as STHs.
Today there is currently 14,070,033 Bitcoin in the hands of LTHs. (71.41% of the circulating supply) 💪
Whereas the amount of coins held by STHs is only 3,326,970. (16.88% of the circulating supply)
(Quick note, exchange balances aren’t counted in this metric)
During bull markets, the amount of long-term holders usually begins to decline.
This is due to long-term holders finally deciding to lock in profits. As a result, the amount of short-term holders increases. (coins become “young” again as they change hands)
And this was true up until Bitcoin first crossed $73,000…
Recently the amount of long-term holders has begun to increase.
This is likely due to Bitcoin’s recent sideways price action. Every LTH that was set on taking profits at these levels already has.
It looks like everyone is still holding out for higher prices.
Regardless, the amount of LTHs is still at an incredibly high level. 😎
CRACKING CRYPTO 🥜
Farallon Capital discloses $85 million in GBTC, Cetera discloses $22 million in GBTC. Farallon Capital Management, Cetera Investment Advisers, and BigSur Wealth Management have reported multi-million dollar spot Bitcoin ETF investments.
Bitcoin money launderer sentenced to 80 months in prison. Attempts to buy multi-million-pound property in London was thwarted by Mishcon de Reya's 'know your client' questions.
Ethereum gains 5% in 24 hours: Start of post-ETF approval pump? Ether prices are on the move, adding to speculation that a post-ETF approval pump could be beginning.
3 Reasons to Buy Bitcoin Like There's No Tomorrow. Bitcoin is just getting started and has plenty more upside to offer investors.
WHAT WE’RE READING 📚
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CAN YOU CRACK THIS NUT? ✍️
Select your answer below and you’ll be redirected to the results page. (answer explanation can be found after “Meme Corner”)
How often is Bitcoin's mining difficulty adjusted? |
MEME CORNER 😂
Because what would the crypto world be without its share of memes?
Trivia Answer: A) Every two weeks 🥳
Bitcoin has a self adjusting mining difficulty algorithm that updates every two weeks.
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