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BlackRock, the world’s biggest asset manager, has once again transferred large amounts of Bitcoin (BTC) and Ethereum (ETH) from its platform. Their action has sparked potential selling pressure concerns for both BTC and ETH.
BlackRock dumps Bitcoin and Ethereum again
According to data from the on-chain data analytics platform Lookonchain, BlackRock recently transferred over $361 million worth of BTC and Ethereum. The asset manager moved these large amounts of digital assets to Coinbase Prime, according to the transaction details.
Separately, BlackRock transferred 3,743 BTC, valued at approximately $339.45 million, to Coinbase Prime. In addition, the asset manager moved 7,204 Ethereum worth about $22.42 million.
BlackRock moving BTC and ETH coins to Coinbase Prime hints at operational flow, rather than selling. The firm manages spot Bitcoin and Ethereum ETF exchange-traded funds (ETFs), which hold actual BTC and ETH, to back investor shares.
Thus, BlackRock is possibly moving assets between wallets, custodians or preparing for ETF creation and redemption processes. Additionally, the firm is likely positioning assets for potential trading or efficient handling without disrupting markets.
BlackRock made similar moves earlier this month, depositing 1,134 BTC and 7,255 ETH on the Binance exchange. Before this offloading, BlackRock moved $214 million worth of BTC and ETH to Coinbase.
Traders raise selling pressure alarm
Market participants quickly raised bearish concerns. For short-term traders, they see the BTC and ETH dumps as a cautionary sign against investing in these two assets.
They claim it could trigger selling pressure on Binance and on other exchanges as well. However, long-term investors might still hold on to the assets to observe price direction before drawing any conclusion.
For now, the market reaction to BlackRock’s dumping of BTC and ETH will signal its next course of action. As regards BTC, the price has dropped to $90,785, down 0.12% over the previous day. However, the trading volume rose more than 164% to $34 billion.
Similar to BTC, the ETH price dropped 0.2% in the past 24 hours to $3,097. Likewise, the trading volume rallied more than 172% to $19.2 billion.
If retail and institutional adoption continue, the prices of the top two biggest cryptocurrencies could recover to new highs.
Bitcoin maximalist Samson Mow recently emphasized his $1 million prediction for BTC. Mow predicted that BTC could hit this milestone between 2031 and 2033.
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