ETF Demand Dries Up as Bitcoin Hits $84,000 Supply Barrier
Bitcoin's recent rally has stalled at around $84,000 as institutional demand for exchange-traded funds (ETFs) weakened. According to SoSoValue data, US Bitcoin ETFs drew just $31 million in inflows on September 28, marking the weakest day of a positive eight-session streak.
BlackRock's iShares Bitcoin Trust (IBIT) led the session with $54.84 million in inflows, adding around 657 BTC and lifting its holdings above 800,000 BTC for the first time since May 26. Grayscale's Bitcoin Mini Trust (BTC) added another $10.32 million.
The trend has deteriorated steadily since September 21, when daily inflows approached $1 billion. Flows declined through the remainder of last week before falling to just $31 million on Monday, leaving the latest total about 97% below that peak.
The slowdown in ETF demand is becoming more consequential as Bitcoin struggles to extend its recovery. Glassnode says long-term-holder supply is heavily concentrated between $84,000 and $85,000, which could increase selling pressure as holders return to breakeven or move back into profit.