BlackRock is making some serious moves in the Bitcoin world. Their spot Bitcoin ETF, the iShares Bitcoin Trust, is creeping up on a pretty impressive $70 billion in assets under management. Which means they now hold over 3.25% of all Bitcoin out there.

Dominating the US ETF market

BlackRock’s ETF owns more than half, 54.7% of the US spot Bitcoin ETF market share. And those US spot Bitcoin ETFs collectively control about 6.12% of the total Bitcoin supply.

This all happened in less than a year and a half since these ETFs hit the trading floors back in January 2024. Talk about a fast rise!

What does this mean? According to Enmanuel Cardozo from Brickken, the big institutional players are here for the long haul. Scarcity is the name of the game right now.

When the big fish like BlackRock start hoarding Bitcoin, it tightens supply, which could push prices up.

Plus, Bitcoin’s got a track record of outperforming global assets during geopolitical chaos, so these institutions are actually hedging.

Less short-time holders

But don’t get too excited just yet, because while BlackRock’s ETF is raking in cash, the overall Bitcoin transaction scene is a bit of a mixed bag.

Big transactions dominate now, the average Bitcoin transfer is around $36,200, and transfers over $100,000 make up nearly 90% of network activity.

The little guys? They’re fading out. Retail investors are stepping back, and there’s no new money into Bitcoin, the fresh capital is drying up, dropping over 800,000 BTC in short-term holders since late May.

Selling pressure from Bitcoin miners?

And miners are selling off some of their Bitcoin, which also puts a bit of pressure on prices.

Analysts like Iliya Kalchev from Nexo say we might need a fresh catalyst to break out of this stalemate.

For now, accumulation by big players and corporate treasuries is balancing out the selling, but the market’s waiting on something to shake things up.

Oh, and here’s a fun fact for you, BlackRock’s IBIT just cracked the top 25 largest ETFs worldwide, sitting pretty at number 23.

Not bad for a crypto fund, huh? If the current trend keeps up, Bitcoin could find its next major support level around $92,000, the onchain realized price traders watch closely during bull runs.

So, the Bitcoin game’s changing, and BlackRock’s playing it like a pro.

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