BlackRock has purchased more Bitcoin and Ethereum, now holding 359,606 BTC and 350,000 ETH worth over $45 billion, signaling strong institutional confidence.
BlackRock has increased its investment in cryptocurrency, adding 529 BTC and 2,420 ETH. Currently, BlackRock owns 359,606 BTC worth $22.82 billion and 350,000 ETH worth approximately $23 billion.
BlackRock’s continued purchases indicate that institutional investors remain optimistic about the long-term potential of digital assets, particularly Bitcoin.
BlackRock’s Bitcoin Holdings Surge
According to Arkham Intelligence, BlackRock—the world’s largest asset manager—has been increasing its investment in Bitcoin, viewing it as a hedge against risk.
BlackRock added 529 BTC, bringing its total Bitcoin holdings to 359,606 BTC, most of which are held in the iShares Bitcoin Trust (IBIT).
This large purchase comes as Bitcoin is seen as a “safe haven” asset amid struggles faced by other risky assets like stocks.
Mitchnick, the head of BlackRock’s digital assets division, believes Bitcoin is a global, decentralized, and scarce asset, setting it apart from other riskier assets.
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Bitcoin ETF Sees Record Inflows
BlackRock’s iShares Bitcoin Trust has seen inflows of over $99 million in Bitcoin, marking the largest increase in the past 30 days. Institutional investors are increasingly interested in Bitcoin ETFs, making it easier to access Bitcoin.
The ETF’s strong performance comes amid an unfavorable economic backdrop, as investors look to diversify beyond stocks and bonds.
Mitchnick emphasized that Bitcoin is a portfolio diversification tool and could outperform during periods of market uncertainty.
Bitcoin’s Q4 2024 Outlook
BlackRock’s continued buying comes at a time when the market is optimistic about Bitcoin in Q4, a historically favorable period for the cryptocurrency.
Bitcoin’s price has risen more than 5% over the past week, reaching $64,440, with forecasts suggesting it could surpass $70,000, potentially even reaching $172,800 by the end of 2024, thanks to favorable economic conditions.
Recent actions by the U.S. Federal Reserve, such as a 50 basis point rate cut, have also contributed to Bitcoin’s upward momentum. However, concerns about Mt. Gox releasing large amounts of BTC to settle debts could place selling pressure on the market.