Bitcoin

Major Institutions Sold $5.5 Billion Bitcoin Since May

As of May 10, up to 236,237 Bitcoin ($5.452 billion worth) have been sold by “major institutions” – primarily due to compulsive circumstances.

Major Institutions Sold $5.5 Billion Bitcoin Since May 4

A Twitter thread from Arcane Research analyst Vetle Lunde details how and when many institutional Bitcoin holders start selling their digital assets. Lunde said that “it all started with Do Kwon.”

Amount of BTC sold since the beginning of May. Source: Arcane Research

Luna Foundation Guard (LFG), the fund controller for the Terra project, dumped 80,081 BTC in a futile attempt to secure the peg of stablecoin TerraUSD (UST) in May.

Terra’s collapse appears to have left some Bitcoin miners facing selling pressure. Lunde estimates that miners sold 19,056 BTC between May and June. In some cases, miners sold more than their monthly production, potentially drawing from reserves.

Public Bitcoin miners sold 14,600 BTC in June. Source: Arcane Research

Lunde noted that when miner sales peaked, Elon Musk’s Tesla hit the red button and sold 29,060 BTC by the end of Q2. At the same time, crypto investment firm Three Arrows Capital (3AC) is heavily leveraged and owes its lenders 18,193 BTC and the equivalent of 22,054 BTC.

Lunde also added that a massive sell-off of 24,510 BTC occurred at the Bitcoin Purpose ETF at the end of June, “creating further selling pressure in the market.” The liquidation amount accounted for 51% of the ETF shares then.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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Harold

CoinCu News

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.