Major institutions have sold $5.5 billion in BTC since May – and we're still here
Strong institutional selling appears to have been driving Bitcoin's price decline since May, according to an analyst at Arcane Research.< /p>
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As of May 10, no less than 236,237 bitcoins (BTC), worth $5.452 billion at the time of writing, have been sold by "big institutions", mostly as a result of forced sales.
A Twitter thread from Arcane Research analyst Vetle Lunde details how and when many institutional Bitcoin holders started selling their stacks. Lunde said "it all started with Do Kwon".
The Foundation Guard Luna (LFG), which controlled Terra project funds, sold 80,081 BTC in an unsuccessful effort to protect the peg of its native stablecoin TerraUSD Classic (USTC) in May.
The collapse of Terra appears to have put pressure on some Bitcoin miners to sell. Lunde estimates that miners sold 19,056 coins between May and June. In some cases, miners were selling more than their monthly production, probably drawing on reserves.
Lunde noted that as miner sales peaked, Elon Musk's Tesla also pressed the red button and sold 29,060 BTC at the end of the second quarter. At the same time, crypto investment firm Three Arrows Capital (3AC) was overleveraged and owed lenders 18,193 BTC and other coins equivalent to 22,054 BTC.
Lunde also added that a
Strong institutional selling appears to have been driving Bitcoin's price decline since May, according to an analyst at Arcane Research.< /p>
New
As of May 10, no less than 236,237 bitcoins (BTC), worth $5.452 billion at the time of writing, have been sold by "big institutions", mostly as a result of forced sales.
A Twitter thread from Arcane Research analyst Vetle Lunde details how and when many institutional Bitcoin holders started selling their stacks. Lunde said "it all started with Do Kwon".
The Foundation Guard Luna (LFG), which controlled Terra project funds, sold 80,081 BTC in an unsuccessful effort to protect the peg of its native stablecoin TerraUSD Classic (USTC) in May.
The collapse of Terra appears to have put pressure on some Bitcoin miners to sell. Lunde estimates that miners sold 19,056 coins between May and June. In some cases, miners were selling more than their monthly production, probably drawing on reserves.
Lunde noted that as miner sales peaked, Elon Musk's Tesla also pressed the red button and sold 29,060 BTC at the end of the second quarter. At the same time, crypto investment firm Three Arrows Capital (3AC) was overleveraged and owed lenders 18,193 BTC and other coins equivalent to 22,054 BTC.
Lunde also added that a
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