Major Bitcoin Shift Anticipated with ETF Custody Address Activity

Bitcoin and an ETF banner in the background

Brace yourselves, crypto enthusiasts! A significant Bitcoin transfer is expected as U.S. markets open on January 29. An estimated 12,504 BTC, valued at roughly $525 million, will be on the move across various ETF custody addresses. This news, shared by analyst @EmberCN, has sparked discussions about potential implications for the crypto market.

12,504 BTC (Approx. $525 Million Will Move Across Addresses

On January 29, as U.S. markets open, a significant Bitcoin transfer is expected to occur. An estimated 12,504 BTC, valued at roughly $525 million, will be on the move across various ETF custody addresses. This news, shared by analyst @EmberCN, has sparked discussions about potential implications for the crypto market.

The translated version of the update said,

“According to the inflow/outflow of BTC spot ETF funds on 1/26, it is expected that when the US stock market opens on 1/29, there will be a transfer of approximately 12,504 BTC ($525M) in each ETF custody address: Among them, approximately 6,077 BTC will flow out of the Grayscale GBTC custody address ($255M of funds will flow out on 1/26); The remaining nine ETF custody addresses will have an inflow of approximately 6,427 BTC (1/26 fund inflow of $270M.

Declining Outflow from Grayscale

While the net inflow is relatively small, the sheer volume of transferred BTC could still impact market prices, causing short-term fluctuations. The large outflow from Grayscale‘s custody address might indicate selling pressure on their popular GBTC trust, potentially affecting its premium over spot BTC prices.

10 BTC Spot ETFs Hold Approximately 637,309 BTC

Nevertheless, there is a consensus that the Grayscale outflow, which has shown signs of reduction will taper off this week. EmberCN highlighted this in their X post:

“After four consecutive days of net outflows, funds once again experienced net inflows. The amount of grayscale fund outflows is also gradually declining, and the peak of selling may have passed.” They further stated that “Currently, the ten BTC spot ETFs hold a total of approximately 637,309 BTC.”

As the clock ticks down to the anticipated transfer, all eyes will be on the cryptocurrency market to gauge its reaction. This event serves as a reminder of the dynamic nature of the digital asset landscape and the potential for significant movements even outside of major news and announcements

Author: Grace

Grace likes gardening. She holds some BTC and ETH.

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