"Hmm, is the price of BTC going to go down again?"
The price of cryptocurrency king Bitcoin (BTC) plunged to $39,424 as bankrupt FTX sold nearly $1 billion of Grayscale Bitcoin Trust ETF (GBTC) since the fund switched to spot BTC ETF.
Looking at filings from early November 2023, FTX held 22.3 million shares of GBTC worth $597 million as of October 25, but it appears to have moved to sell 22 million shares of GBTC.
The increase in the value of the stock has occurred for two reasons, one of which is when the price of BTC increased from $34,500 to $40,00 then $49,000 which was the highest level reached earlier this month.
In addition, the approval and conversion of GBTC on the spot BTC ETF which closed the long-term discount between the value of GBTC shares and the underlying BTC holdings of the fund has been the cause of the rise plus GBTC is discounted more than 40% compared to the price of BTC in early 2023.
That streak, large holders of GBTC like FTX were quick to take advantage where on the first day of GBTC trading as a spot ETF, the value of FTX share ownership managed to reach up to $900 million.
It is well known that since the spot BTC ETF was approved, Grayscale has experienced about $3 billion in outflows including $590.4 million last Friday and its firm's blockchain address sends thousands of BTC to Coinbase every day.
As of this writing, the price of BTC has fallen by 3.65% to $39,834 in the last 24 hours with a market cap of $781 billion and has recorded a decline of 6.43% over the last week.
