Bitcoin may rebound if early holders stop selling, Balchunas says

The Bloomberg ETF analyst said OG selling has capped gains for nine months even as Bitcoin rose 8% since July 4 and spot ETFs drew $750 million in net inflows last week.

BTC

Summary

Bitcoin is likely to rebound if early holders, or OGs, refrain from selling, Bloomberg ETF analyst Eric Balchunas said. He argued that selling by those long-time holders has weighed on Bitcoin’s price gains over the past nine months, even as BTC has risen 8% since July 4 and outperformed other major assets. Balchunas also pointed to $750 million in net inflows into spot ETFs over the past week, suggesting institutional demand remains supportive. Still, he said it is difficult to call the move a "real rebound" and added that the market may simply have to wait and see whether Bitcoin can sustain a broader recovery.

Terms & Concepts
  • spot ETFs: Funds holding the asset directly
  • net inflows: Money added after subtracting withdrawals
  • OGs: Early long-term Bitcoin holders