BlackRock has moved 1,800 Bitcoin, worth approximately $160 million, to Coinbase Prime. The transfer has triggered speculation throughout the cryptocurrency market.
The transaction was first identified by blockchain analytics firm Arkham Intelligence. "BlackRock Selling BTC," the company posted on X, prompting immediate reaction. Some market participants viewed the transfer as a signal of waning institutional confidence. "People start regretting letting Blackrock control the market. Bitcoin lost its ethos," wrote one X user.
Further analysis suggests a more routine explanation. The movement appears connected to BlackRock's management of its iShares Bitcoin Trust (IBIT). This spot Bitcoin ETF uses Coinbase Prime as its custodian. The transfer likely represents standard liquidity management rather than an outright sale.
The timing aligns with significant ETF outflows. According to SoSoValue, IBIT experienced $164 million in net outflows on February 25. This withdrawal pattern could necessitate adjustments to the fund's holdings.
BlackRock's cryptocurrency activity extends beyond Bitcoin. Arkham Intelligence data shows the asset manager's iShares Ethereum Trust ETF (ETHA) deposited 18,168 ETH to Coinbase Prime. This transfer, valued at approximately $44 million, occurred amid similar outflows from the Ethereum ETF.
The transfers come during market turbulence. Bitcoin has dropped below $90,000 for the first time since November 2024. The decline coincides with sustained selling pressure from US Bitcoin ETFs. These investment vehicles have recorded net outflows for two consecutive weeks.
Bitcoin trades at $88,659, down 3.0% over 24 hours. The Fear and Greed Index registers 21, indicating extreme market fear. Over $1 billion in leveraged positions have been liquidated in the past day. Long positions account for $847 million of these liquidations. Short positions represent just $191 million. The scale of forced selling raises concerns about continued market volatility.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.