In the latest trading session, BlackRock sold 29.2 million shares of a Bitcoin ETF through a "dark pool" market, leading to significant volatility in the Bitcoin market. According to TradingView data, after the transaction was completed, Bitcoin's price dropped by 1.5% in just 10 minutes, falling from $77,875 to $76,720. The selling pressure continued, and Bitcoin eventually slid to $75,600 approximately 12 hours later. By the end of the day, Bitcoin had overall declined by 2.8%.
This sale of 29.2 million shares makes it one of the largest single dark pool trades in the market. Alex Thorn, head of research at Galaxy Digital, stated that he had never seen a dark pool trade of such magnitude.
In the past eight trading days, the U.S. spot Bitcoin ETF has seen continuous net outflows, with $333.6 million flowing out in just one day on Tuesday, of which $192.4 million came from IBIT. Since May 14, total withdrawals from Bitcoin ETFs have exceeded $2 billion. This trend indicates that new capital entering the market is far behind the amount of capital exiting, showing that institutional demand for Bitcoin ETFs is weakening.
Among major financial firms, institutional sell-offs are also becoming increasingly apparent. U.S. market maker Jane Street reduced its Bitcoin ETF holdings by about 70% in the first quarter, while Goldman Sachs cut its holdings by 10%. Bloomberg's ETF analyst Eric Balchunas noted that the 29.2 million shares sold in the IBIT transaction on Tuesday were 22 times larger than the second-largest trade of the day.
Although Bitcoin once seemed out of place in traditional financial markets, in recent years, U.S.-listed ETF products have garnered increasing attention from institutional investors. This shift has caused cryptocurrency prices to become more closely correlated with fluctuations in the U.S. stock market, leading to more intense and rapid price volatility.