BTC Price Index and Live Chart – CoinDesk”>(BTC) from its publicly known wallet Wednesday morning. Grayscale’s Bitcoin Trust (GBTC) has moved more than 113,000 bitcoins from its wallet since the spot bitcoin ETFs began trading on Jan. 11. The vast majority was sent to Coinbase Prime to prepare for sale.

The Grayscale site on Wednesday morning showed GBTC holding approximately 537,000 Bitcoin, down roughly 100,000 BTC from Jan. 11.

Arkham pointed out that the movement of bitcoins observed in the Grayscale wallet may not be all related to redemption. Arkham said that the outflows were usually split between Coinbase Prime addresses and new GBTC custodial addresses. This means that not the entire BTC is being redeemed. Outflows are settlements for trading activity from the previous day or days.

GBTC’s massive outflow can be attributed to a number of factors, but primarily because Grayscale reduced its management fee by just 50 basis points (to 1.50%) following the conversion into a spot ETF. This is more than 100 basis point higher than other bitcoin ETFs. Grayscale’s assets under management (AUM), which are the funds that manage money, have dropped by more than $1 billion per day in this week.

The rapid pace of GBTC bitcoin transactions is one of the factors that are putting pressure on bitcoin’s price, which fell below $40,000 earlier this week to its lowest level for nearly two months. At the time of publication, bitcoin was trading at $39800, a level that has remained relatively flat in the last 24 hours.

The bitcoin bulls’ hopes were temporarily boosted this week by a CoinDesk report stating that the FTX Estate had sold its 22 million shares of GBTC. The bulls hoped that the non-economic whale would slow down the exit of GBTC. This has not happened yet, as shown by the 19,000 bitcoins that were sent to an exchange this morning.

Crypto Whales Search for Bargains as Bitcoin Prices Fall, Data Shows

Aoyon A. Ashraf is the editor.