BlackRock’s ETF set to surpass GBTC in Bitcoin holdings in less than a month

BlackRock’s Bitcoin ETF is set to surpass Grayscale’s GBTC in terms of total Bitcoin holdings within the next three weeks, assuming there are no drastic changes in the current flows. As of March 22, BlackRock’s Bitcoin ETF held 238,500 Bitcoin, worth $15.5 billion. The fund has been experiencing an average daily inflow of $274 million, equivalent to around 4,120 Bitcoin per day. On the other hand, Grayscale’s Bitcoin Trust reports that it holds an estimated 350,252 Bitcoin, worth $23 billion. However, it has been experiencing an average daily outflow of $277 million, equivalent to around 4,140 Bitcoin per day, over the past two weeks. If the inflows and outflows continue at the current rate, BlackRock could surpass Grayscale in terms of total Bitcoin holdings by April 11. This date could come even sooner if BlackRock’s inflows return to the previous week’s average of 7,200 Bitcoin per day. If BlackRock does surpass Grayscale, it will become the largest institutional holder of Bitcoin in the world. Last week, GBTC experienced significant outflows, reaching a record $643 million on March 18. While the outflows have decreased slightly in the following days, some analysts have warned of potential downward volatility in the price of Bitcoin. However, senior Bloomberg ETF analyst Eric Balchunas predicts that the outflows could be over within the next few weeks. He also speculates that the majority of last week’s outflows came from bankruptcies of crypto firms such as Genesis and Digital Currency Group. On March 10, BlackRock’s Bitcoin ETF officially surpassed MicroStrategy’s holdings of the cryptocurrency. MicroStrategy currently holds 214,246 Bitcoin on its books after purchasing an additional 9,000 Bitcoin on March 19.