Key Points:
- Grayscale Investments moved 9,000 BTC to Coinbase Prime, maintaining 617,000 BTC in the Grayscale holding address.
- The SEC approved Grayscale’s request to convert GBTC into an active spot Bitcoin ETF, joining 10 others in a historic move.
- Despite bearish trends, experts are optimistic about a potential mega rally with the growing influence of the spot ETF product.
In a recent transaction revealed by on-chain data, Grayscale Investments has transferred an additional 9,000 BTC, valued at $385 million, to what appears to be a Coinbase Prime deposit address, as reported just 40 minutes ago.
Grayscale Holding Address Transfer Causes BTC Dumps
The move comes as the currently designated Grayscale holding address maintains its grip on 617,000 BTC, totaling a substantial $26.2 billion.
This development follows Grayscale Investments obtaining approval last week for the conversion of its flagship product, the Grayscale Bitcoin Trust (GBTC), into an active spot Bitcoin ETF. This milestone decision by the Securities and Exchange Commission (SEC) marked the end of a decade-long struggle, with Grayscale joining the ranks of 10 other entities and making history with approved spot Bitcoin ETFs.
A significant factor influencing the recent underperformance of Bitcoin is attributed to the ongoing BTC sales by the GBTC. The trust has generated almost $600 million in revenue, and analysts anticipate this figure to grow further. The persistently discounted trading of GBTC prices is now seen as a clear signal of this downward trend.
Despite the market’s current bearish sentiment, indicated by Bitcoin’s price dropping to $42,000, experts emphasize that the Grayscale holding address transfer is not the sole driver behind this trend. Market observers maintain optimism, anticipating a potential mega rally in Bitcoin as the spot ETF product becomes adequately priced in and integrated into the market dynamics.
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