Current Institutional Bitcoin consumption is 10 times+  over Bitcoin production


Data showed that investment in Bitcoin per day via Bitcoin spot ETF products is currently 10 times over the actual amount of Bitcoin production by miners in the same period. 

A month ago, the United States Securities and Exchange Commission (SEC) approved 11 bitcoin spot ETF products. And currently, 9 out of 11 Bitcoin ETF products are in the top dominance. Within the first week of the approval, the Bitcoin ETF market surpassed the Silver ETF market. Some experts believe that the next 10 years will be enough for Bitcoin to surpass the Gold ETF market cap, however, some Gold maximalists oppose such analysis. 

According to available data reports, a net 10,280 BTC worth $493.4 million investment inflow took place between 12 Feb 2024.

Top fund manager BlackRock’s IBIT saw the lion’s share with a huge $374.7 million inflow. Fidelity’s FBTC fund saw a $151.9 million inflow, and there was $40 million for Ark 21 Shares’ ARKB fund. But in the case of Grayscale, it was slightly offset with outflows of $95 million and $20.8 million from Invesco’s BTCO. In short, the Bitcoin market saw net inflows of almost half a billion dollars.

In the same time frame, 1,059 BTC worth $51 million at the current trade price of Bitcoin was produced by the Bitcoin miners, according to which means the input supply of new Bitcoin in the market is only 10% of the actual demand by the investors via ETF products. 

A similar kind of situation was seen by the Bitcoin market on 9 Feb. At the time, 12,700 BTC was accumulated by the Bitcoin ETF investors but production of Bitcoin on the same day was only 980 BTC. 

Popular crypto influencer Anthony Pompliano noted this surging demand for Bitcoin and in an interview with CNBC he said that net demand is currently 12.5 times the production of Bitcoin.

The current trade price of Bitcoin (BTC) is $50,000 & this trade price is 40% high over the last 3 months of trade price. 

Current Institutional Bitcoin consumption is 10 times+  over Bitcoin production 1

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