Galaxy Research: Weak corporate treasury buying and ETF outflows may weigh on October Bitcoin performance
BIBIBI
AT A GLANCE
Alex Thorn believes that weak additions to corporate reserves and spot ETF net outflows are the main factors behind Bitcoin's October weakness.
Article
Galaxy analyzes Bitcoin October Why it weakened: weak corporate treasury buying compounded by ETF outflows as the main cause
According to BlockBeats,October 19, Alex Thorn, Head of Research at Galaxy Research, noted that October Bitcoin's weakness was related to weak additions to corporate Bitcoin reserves and spot ETF net outflows. He analyzed this using the "institutional absorption relative to distribution by long-term holder addresses" indicator, calculated as spot ETF net inflows plus net additions to corporate reserves, minus the amount of Bitcoin that had been dormant on-chain for more than 5 years and was reactivated. The chart shows that as of October 18, the indicator's cumulative net value year-to-date was approximately negative 127300 coins BTC, with the overall scale of old-coin distribution by long-term holder addresses exceeding institutional absorption.
The analyst also stated that cumulative net inflows into U.S. spot Bitcoin ETF year-to-date remained barely positive after returning to positive territory at September, currently at approximately positive 355000000 USD，October has recorded slight net outflows so far.
Original link https://m.theblockbeats.info/flash/372445
Key points
01
BlockBeats said that Alex Thorn, Head of Research at Galaxy Research, noted that October Bitcoin's weakness was related to weak additions to corporate Bitcoin reserves and spot ETF net outflows.
02
His analytical indicator is: spot ETF net inflows plus net additions to corporate reserves, minus the amount of Bitcoin that had been dormant on-chain for more than 5 years and was reactivated.
03
The article stated that, as of October 18, the indicator's cumulative net value year-to-date was approximately negative 127300 coins BTC。
04
The article stated that the overall scale of old-coin distribution by long-term holder addresses exceeded institutional absorption.
05
Alex Thorn stated that cumulative net inflows into U.S. spot Bitcoin ETF year-to-date were approximately positive 355000000 USD，October has recorded slight net outflows so far.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
This analysis treats ETF and purchases by corporate reserves as institutional absorption, then compares them with the amount of Bitcoin that had been dormant for more than 5 years and returned to circulation. A negative indicator means that, according to the article, distribution by long-term holder addresses exceeded institutional absorption.
Why it matters to readers
This view is used to explain October why Bitcoin weakened: corporate reserve buying was weak, while spot ETF also saw slight net outflows, leaving institutional absorption relatively insufficient.
Beginners can monitor spot ETF fund flows, additions to or reductions in corporate reserves, and whether long-dormant Bitcoin becomes active again; these are the items used in the article to assess market absorption capacity.
Risks and unknowns
This is BlockBeats' paraphrase of Alex Thorn's analysis; the article does not include the original chart or detailed data.
Approximately negative 127300 coins BTC and approximately positive 355000000 USD The calculation sources and verification methodology are not detailed in the article.
The views in the article are an analysis of the reasons for Bitcoin's weakness and cannot, on this content alone, establish a causal relationship.
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BTC
The abbreviation commonly used for Bitcoin when referring to it as a digital currency.
