As Bitcoin approaches the $100,000 mark, the trading volume of Bitcoin spot ETFs and stocks such as MicroStrategy and Coinbase reached $70 billion on the 21st, setting a historical record. Bloomberg ETF analyst Eric Balchunas described this phenomenon as “BITSANITY.”
(Background: Bitcoin’s market capitalization “surpasses New Taiwan Dollar” at $1.95 trillion, ranking as the 12th largest currency globally!)
(Additional context: Major short-seller Citron Research “shorts MicroStrategy,” leading to a 20% drop in its stock price: MSTR has completely detached from Bitcoin’s fundamentals.)
Amid Bitcoin’s impending approach to $100,000, Bloomberg ETF analyst Eric Balchunas shared data indicating that the “Bitcoin industry complex” in the United States, including Bitcoin spot ETFs and stocks like MicroStrategy and Coinbase, reached a trading volume of $70 billion on the 21st, marking a historical high.
BlackRock’s Bitcoin spot ETF, IBIT, recorded a trading volume of $5 billion in a single day, the second highest ever, while $MSTZ (the inverse 2x leveraged MSTR product) also surpassed the $1 billion mark for the first time. Eric Balchunas referred to this as “BITSANITY.”
While MicroStrategy accounted for a significant portion of the day’s trading volume, its stock price plummeted over 25% from a peak of $536.7 to close at $397.28. This decline may be linked to short-selling by Wall Street firm Citron Research, which stated last night that although it is optimistic about Bitcoin, MicroStrategy’s stock price has completely detached from its fundamental developments, leading them to choose to short the stock.
Total Assets of Bitcoin Spot ETFs Exceed $100 Billion
It is noteworthy that the total assets of Bitcoin spot ETFs in the United States surpassed $100 billion on the 21st. According to Sosovalue data, the current total assets stand at $100.337 billion, with net inflows reaching $29.7 billion since the approval of Bitcoin spot ETFs on January 11. This figure also includes over $20.2 billion in net outflows from Grayscale’s GBTC.
Eric Balchunas pointed out that the scale of Bitcoin spot ETFs in the United States is nearing a level that could exceed that of Satoshi Nakamoto, making them the largest holders of Bitcoin. Furthermore, the total assets of these ETFs are already equivalent to 82% of gold ETFs, which have been trading in the U.S. market since November 2004.
Among all Bitcoin spot ETFs, BlackRock’s IBIT has seen the highest net inflows, totaling $30.2 billion, followed by Fidelity’s Wise Origin Bitcoin Fund (FBTC) and ARK 21Shares Bitcoin ETF, which attracted net inflows of $11.2 billion and $2.7 billion, respectively.
In addition, BlackRock’s IBIT options contracts launched on November 20, achieving a trading volume of nearly $2 billion on the first day. Bloomberg ETF analyst James Seyffart noted that this impressive trading data could be a major driving factor propelling Bitcoin’s continued rise.
