According to data from the first half of May 2024, institutional interest in Bitcoin continues to grow despite changes in market supply dynamics.
ETF Purchases in Early May
Between May 1 and May 15, 2024, U.S. Bitcoin ETFs acquired approximately 26,700 BTC, while miners added only 7,200 BTC. This indicates significant interest from both institutional and retail investors engaging with authorized investment products.
The Impact of Halving on the Market
April 2024 marked the fourth Bitcoin halving event, reducing the block reward from 6.25 BTC to 3.125 BTC. As a result, only 7,200 BTC were mined in the first 15 days of May, creating an imbalance between demand and supply, attracting the attention of both financial and crypto sectors.
The Future Outlook for Bitcoin
Despite some market instability in May, institutional investors are likely to maintain their interest throughout the coming year. Data shows that in October and November 2024, inflows reached 76,823 and 71,570 BTC respectively, indicating strong belief in Bitcoin's future. With the inflows observed in April and May 2025, significant changes in the market could be on the horizon.
In conclusion, the observed increase in Bitcoin purchases by ETFs and changes in supply dynamics set the stage for a potential new bull market in the crypto sector.
