BlackRock’s Bitcoin ETF Poised to Surpass GBTC in Holdings in Weeks

BlackRock’s iShares Bitcoin Trust ETF is on track to exceed the holdings of Grayscale’s Bitcoin Trust (GBTC) within just 14 trading days, based on current trends.

The quantity of Bitcoin held in BlackRock’s spot Bitcoin ETF is projected to outstrip that of Grayscale’s GBTC within the next three weeks, assuming no significant alterations in the current flow dynamics.

As of March 22, BlackRock’s iShares Bitcoin Trust ETF secured 238,500 BTC, valued at $15.5 billion at prevailing market rates, with an average daily influx of approximately $274 million, welcoming around 4,120 new Bitcoin into the fund each day.

In comparison, the Grayscale Bitcoin Trust (GBTC) ETF still retains an estimated 350,252 BTC, valued at $23 billion, having experienced average daily outflows of roughly $277 million, or approximately 4,140 BTC daily, over the preceding fortnight.

Given the current trajectory of inflows and outflows, BlackRock could surpass Grayscale in total Bitcoin holdings by April 11.

This timeline could be expedited further if BlackRock’s daily inflows revert to the prior week’s average of 7,200 Bitcoin, potentially leading to the takeover in just 10 days.

YouTuber George Tung expressed confidence in BlackRock’s imminent dominance over Grayscale, stating, “I say within the next two weeks — it’s going to happen.”

Should BlackRock indeed surpass Grayscale, it would officially claim the title of the world’s largest institutional holder of Bitcoin.

On March 18, GBTC experienced a significant $643 million in net outflows, marking its highest single-day depletion on record.

Although the outflows have tapered somewhat since then, the heightened volume prompted several analysts to caution against potential downward pressure on Bitcoin’s price.

Senior Bloomberg ETF analyst Eric Balchunas remained relatively unconcerned about the GBTC-led outflows, suggesting that the exodus could subside almost entirely within the coming weeks.

Balchunas also speculated that much of last week’s outflows stemmed from bankruptcies of crypto firms such as Genesis and Digital Currency Group, owing to their “size and consistency.”

On March 10, BlackRock’s spot Bitcoin ETF officially surpassed MicroStrategy’s Bitcoin holdings. As of the latest update, MicroStrategy holds 214,246 BTC after acquiring an additional 9,000 BTC on March 19.