Matrixport Analyst: Bitcoin ETF Speculative Rally Ends, Showing Institutional Investors Are Not Buying

The often outspoken Matrixport analyst 10x research analyst Markus Thielen stated on 1/26 that the Bitcoin spot ETF has experienced two weeks, and the results are clear: institutional investors are not buying. "Registered Investment Advisors," RIA, have also not started selling this product. The overall inflow of funds into the Bitcoin spot ETF is disappointing, and trading volume is also facing a decline.

10x Research Analyst Markus Thielen: End-user demand should be low

Markus Thielen stated that, analyzing the current trading situation, end-user demand should be low. "Otherwise, we would see a strong two-way market: buyers matching sellers. The highly anticipated BlackRock iShares ETF had a trading volume of $574 million on the first day, with the asset management company initially indicating it raised $2 billion for its ETF."

Markus Thielen believes that the trading volume of Bitcoin spot ETFs is declining:

Is Markus Thielen's statement reasonable?

Bloomberg Terminal Data for the ninth trading day:

In fact, although the overall inflow of funds for Bitcoin spot ETFs was only $824.4 million inflow after the ninth day due to continuous outflows from GBTC, other ETFs saw an inflow of as much as $5.2164 billion. The outflow of funds from GBTC created significant trading volume, but excluding GBTC outflows, other ETFs still had a trading volume of $10.2 billion within nine days, which is still a remarkable performance.

BlackRock's IBIT has already received $1.915 billion in total inflows, with a trading volume of $4.165 billion; however, Markus Thielen's judgment is based solely on the first day's trading performance, which is not entirely objective.

Although many investment institutions are unwilling to offer Bitcoin ETF products to clients, there are still institutions that maintain an open attitude. Despite the gradual decrease in inflows and trading volume, there are still investors willing to continue investing and trading.

The author believes that it is necessary to wait for the selling pressure from historical factors of GBTC to clear before a clearer picture of the actual supply and demand situation of ETFs can be seen.

JPMorgan: GBTC outflows exceed expectations, downward pressure on Bitcoin should be over

Continuous selling pressure from GBTC, Bitcoin downtrend may not turn around until late March