Bitcoin Institutional Demand Surpasses New Supply for First Time in Six Weeks
- Bitcoin institutional demand is currently 13% higher than the amount of newly mined BTC on a rolling daily basis.
- This marks the first net reduction in BTC supply driven by corporate demand since early November.
- Total outflows from Bitcoin exchange-traded funds (ETFs) reached $635 million over two days this week.
- Institutions have been purchasing more BTC as prices remain over 30% below October’s all-time highs.
- Capriole Investments noted that institutional buying has exceeded newly mined supply for three consecutive days.
The current dynamics indicate a shift in market behavior, with institutions re-engaging despite recent price declines and significant ETF outflows. This trend suggests a potential strategic accumulation phase amid short-term pessimism.
As institutions buy more than the daily mined supply, this could influence future market stability and price recovery efforts, reflecting a notable uptick in demand amidst ongoing outflows from ETFs.
