Grayscale's Bitcoin Trust (GBTC) has experienced a notable slowdown in outflows for the second consecutive day, sparking optimism in the cryptocurrency market. This development, as reported by CoinTelegraph, suggests a potential easing in the recent selling pressure on Bitcoin.
Data from BitMEX Research indicates that GBTC outflows were $429 million on January 24, marking the smallest daily outflow since the launch of Grayscale's spot Bitcoin ETF on January 11. This represents a 33% decrease compared to the start of the week, indicating a significant deceleration.
Bloomberg ETF analyst Eric Balchunas commented on the situation, noting that although the outflow numbers are trending down, they are still considerably large. This cautious observation aligns with the general sentiment of uncertainty in the market regarding the end of GBTC's outflow.
In the past nine trading days, GBTC has witnessed a loss of 106,092 BTC, valued at approximately $4.4 billion. This substantial outflow has been a point of concern for investors and market analysts, as it reflects the trust's struggle amidst a challenging market environment.
Arkham Intelligence, a blockchain tracking firm, has cautioned against misinterpreting GBTC transaction data. According to Arkham, due to the nature of Bitcoin's blockchain structure, transaction outputs are often split among multiple addresses, indicating that not all BTC moved from GBTC is necessarily being redeemed.
This development in GBTC's outflow trend is being closely watched by investors and analysts alike, as it may signal a shift in market dynamics for Bitcoin and the broader cryptocurrency sector.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
