According to on-chain data identified by Onchain Lens on Monday, asset manager BlackRock is not fazed by Strategy’s recent sale of Bitcoin worth over $200 million. The firm has reportedly accumulated fresh BTC and ETH, expanding its digital asset holdings.
BlackRock scoops more BTC, ETH
The following screenshot shows a wallet linked to BlackRock buying and withdrawing 300 BTC worth roughly $18.66 million at the prevailing market prices. In addition, the company bought 7,546 ETH valued at approximately $13.2 million.
Notably, the purchases were executed on Coinbase Prime, the institutional-grade crypto trading platform.
In another update, a wallet linked to BlackRock withdrew another 1,080 BTC worth approximately $62.82 million. It is worth highlighting that earlier on Monday, Strategy sold another 2,225 BTC, spooking the wider crypto market.
While Michael Saylor’s catching flak of the crypto market for turning Strategy from the biggest corporate holder of BTC to its largest seller, BlackRock is seeing it as an opportunity to accumulate more BTC at a discount.
Monday’s development stands in stark contrast to BlackRock’s move on May 14, when it reportedly moved $300 million in BTC and ETH to Coinbase, fuelling concerns of a massive sell-off. However, nothing came of it at the time.
Most recently, BlackRock filed with the U.S. Securities and Exchange Commission for a new Bitcoin income exchange-traded fund (ETF) that seeks to generate income for its holders using a covered call strategy.
For the uninitiated, a covered call strategy involves holding an asset while selling call options against it to earn premium income.
If the asset’s price stays below the option’s strike price, the seller keeps both the asset and the premium. On the contrary, if it rises above the strike price, they may have to sell the asset at the agreed price, limiting further upside.
Is Bitcoin heading to $10,000?
Speaking at the Wolf Of All Streets podcast, Bloomberg Intelligence Senior Commodity Strategist, Mike McGlone remarked that BTC is “probably going toward $10,000” and that the crypto bear market is just starting. McGlone remarked:
“Cryptos are in a severe, serious bear market and it should continue. Part of it is because we’ve got a lot of smart people who are not seeing the forest through the trees. The number one thing is rapidly advancing technology, which is bearish because there’s an unlimited supply of cryptos.”
McGlone’s stance toward the top cryptocurrency by market cap differs radically from the likes of brokerage firm Bernstein and asset manager 21Shares.
Earlier on Monday, Bernstein remarked in a client note that it is still confident that BTC is heading to $150,000 by the end of the year. In the same vein, on June 24, 21Shares predicted that BTC will close the year around the $100,000 price level.
