Bitcoin Buys Reach 1.55 Million, 3.6 Times New Supply

It has been reported that the amount of Bitcoin (BTC) purchased by listed companies and U.S. spot Bitcoin ETPs since January 2024 is 3.6 times the new supply during the same period. Bitfinex announced on the 23rd that approximately 1.55 million BTC have been purchased by listed companies and U.S. spot ETPs since the launch of the U.S. spot Bitcoin ETP, based on data from Bitwise. During the same period, the new BTC supply was about 45,500 BTC. While BTC is supplied through mining, the listing of the U.S. spot Bitcoin ETP in 2024 has brought institutional products and corporate financial strategies into the buying momentum simultaneously. The fact that cumulative purchases exceed new supply indicates that competition for the available supply has intensified compared to before. The BTC holdings of listed companies are also a part of this trend. Some companies hold BTC as financial assets, and the U.S. spot ETP serves as a channel for investors to gain exposure to BTC prices without holding it directly. However, the fact that purchases exceed new supply does not guarantee the direction of prices immediately. ETP fund flows can change on a weekly basis, and trading volumes and macroeconomic variables also influence short-term prices. This report shows that the BTC market has entered a stage where it cannot be explained solely by mining supply.

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