Institutional Investors Hold 20% of U.S. Spot Bitcoin ETFs, Driving Market Momentum

Institutional investors currently hold around 20% of all U.S.-traded spot Bitcoin (BTC) exchange-traded funds (ETFs), according to recent data.

CryptoQuant CEO Ki Young Ju reported that as of October 18, institutional investors possess over 193,000 BTC through Bitcoin ETFs, based on the latest 13F Form filings. Approximately 1,179 institutions have invested in U.S.-traded spot Bitcoin ETFs, including major players like $70 billion asset manager Millennium Management, $438 billion trading firm Jane Street, and $2.93 trillion investment bank Goldman Sachs.

IBIT Leads in Holdings

In terms of absolute numbers, BlackRock’s iShares Bitcoin Trust ETF (IBIT) holds the most Bitcoins, with over 71,000 BTC. However, its institutional adoption rate of 18.38% is below the average. Grayscale’s GBTC follows with 44,707.89 BTC held by institutional investors, representing 20.25% of its shareholder base.

Meanwhile, ARK 21Shares’ ARKB has the highest institutional participation, with 32.8% of its shares owned by asset managers, equating to roughly 17,166 BTC. In contrast, Grayscale’s Bitcoin Mini Trust has the lowest institutional participation, with just 1.52% of its shares held by these investors, while the CoinShares Valkyrie ETF (BRRR) has the least absolute amount, with only 451.26 BTC bought by institutions.

Fidelity’s FBTC ranks third among ETFs, with 44,623.23 BTC held by institutional investors, making up 24.14% of its holders.

Bitcoin ETF and Price Correlation

A recent report from VanEck indicated a stronger correlation between Bitcoin ETF flows and the cryptocurrency’s price in recent months, primarily driven by increasing institutional adoption. Spot Bitcoin ETFs traded in the U.S. surpassed the $21 billion mark in year-to-date flows as of October 18, according to Farside Investors data.

VanEck suggested that the recent surge in institutional interest may explain Bitcoin’s 11% price increase in October, reaching $67,478. The asset manager anticipates that growing demand from institutions could continue to drive Bitcoin’s upward momentum in the near future