Institutional Giants Pounce on Bitcoin ETFs: Who Is Buying and Selling?
Journalist
- Millennium Management’s Bitcoin holdings show growing institutional interest
- Bitcoin’s recent surge comes on the back of Galaxy Digital’s income boost and increased ETF investments
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According to Farside Investors data, all Bitcoin ETFs except BlackRock’s iShares Bitcoin Trust IBIT saw an increase in inflows on May 15
Source: Farside Investors
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IBIT was surprisingly flat for the third day in a row, with no notable outflows or inflows. Fidelity FBTC led with a significant inflow of $131.3 million. Grayscale’s GBTC also saw its first inflow of $27 million in a full week.
Sunnydecree, a Bitcoin analyst/investor, noted this development.
Bitcoin ETFs saw inflows of $303,000,000 on Tuesday. “We’re back!”
Another X user, “Bitcoin for Freedom,” added to the excitement.
“That’s 276x the bull market! This bull run is not for the faint of heart. “We’ve only just begun!”
Millennium Management makes a big move
The story isn’t over yet! According to 13F filings by international hedge fund Millennium Management, the firm reported that it held nearly $2 billion worth of Bitcoin ETF shares. Millennium held a total investment of $1.94 billion in five Bitcoin ETFs as of March 31. These ETFs are ARK 21Shares Bitwise Grayscale iShares Fidelity and ARK 21Shares.
BlackRock’s Bitcoin Fund is the largest hedge fund allocation with more than $844 million. Fidelity follows closely behind with nearly $806 million.
Eric Balchunas, an ETF analyst for Bloomberg, provided further insight on the topic.
Source: Eric Balchunas/X
James Seyffart responded by saying:
Only retail investors are buying #BitcoinETFs
Salim Ramji joined ETF critics in a recent interview with Barron’s, insisting on the company’s decision not to launch a spot-based Bitcoin ETF.
These remarks underscore the uniqueness of these investments and suggest a complex and nuanced market perspective.
Institutional investors are increasing
Despite the criticism, banking giants and institutional investors are flocking to Bitcoin investments. According to SEC filings in recent months, Bracebridge disclosed $363 million in investments made through spot Bitcoin ETFs. JP Morgan clients also contributed $731,246.
Galaxy Digital Holdings Ltd. also made waves on May 15 with an impressive 40% increase in net income attributed to spot Bitcoin ETFs.
These recent increases in spot investment in Bitcoin ETFs may have been the main factors driving Bitcoin’s rise this week.
