BlackRock sold 340 million in crypto assets! ETF is crashing while attracting massive funds; should retail investors panic?
The crypto circle has exploded recently! Global asset management giant BlackRock suddenly transferred 342 million in Bitcoin and Ethereum to exchanges, including 72,370 ETH (312 million) + 266.79 BTC (nearly 30 million), causing the market to speculate: Is there going to be a massive sell-off?
Even more exciting is the ETF market, which is simply like fire and ice.
Ethereum ETF is unbearable: a staggering outflow of 788 million in a single week! Products from BlackRock and Fidelity saw outflows of 312 million and 288 million respectively, setting the worst record in history.
On the other hand, Bitcoin ETF is crazily attracting funds: a net inflow of 246 million during the same period, BlackRock's IBIT earned 434 million in just one week, with positive inflows for two consecutive weeks!
Why is there such a big difference? Let's break it down into three key points.
Bitcoin is like digital gold, with a fixed total supply, institutions use it to hedge against inflation, while Ethereum has just completed an upgrade, and the previous hype has subsided, leading to a withdrawal of funds.
Bitcoin is in a stockpiling phase, while Ethereum is waiting for validation; after the Cancun upgrade, user growth has slowed, and everyone is hesitant to enter the market.
The Federal Reserve is expected to cut interest rates (25 basis point cut in September with a 90% probability), but before the data is released, funds are reluctant to touch the volatile Ethereum and are all hiding in Bitcoin for safety.
Here’s a question: do you think BlackRock's asset transfer is a bearish view on Ethereum, or are they just “playing tricks” with their portfolio? If it were you, would you dare to touch the Bitcoin ETF now?
In fact, there is a significant change hidden in this: the crypto market is no longer dominated by retail investors; actions from giants like BlackRock can stir the calm. Once the CPI data and Federal Reserve's decision are out, the market will change again!
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