Bitcoin ETFs Demand Skyrocket 3x More Than December Output
Outline:
- Surge in Bitcoin Mining Output: Overview of major mining companies’ production figures for December 2024.
- Spot Bitcoin ETFs Dominate: ETFs acquire 51,500 BTC, outpacing mining output by 272%.
- Demand vs. Supply Imbalance: Rising ETF demand intensifies a looming Bitcoin supply shock.
- Market Momentum in December: Bitcoin reaches an all-time high of $108,135 amid ETF inflows.
- Industry Insights and Projections: Experts warn of supply shortages and analyze market trends post-December.
Spot Bitcoin ETFs in the United States collected an astonishing 51,500 BTC in December, with only a small percentage of that total mined.
A Bitcoin Exchange-Traded Fund (ETF) is a financial product that tracks the value of Bitcoin and trades on traditional stock exchanges. It allows investors to gain exposure to Bitcoin without directly owning it, offering a regulated and convenient way to participate in the cryptocurrency market through familiar investment platforms.
Spot Bitcoin trade traded reserves in the United States, which surpassed the nearly 14,000 coins given by diggers in December 2024.
December was a massive month for spot Bitcoin ETFs in the United States, collecting over 51,500 BTC, according to data from Apollo and BiTBO.
The force was driven by spot markets, with Bitcoin BTC $100,749 reaching an all-time high of $108,135 on December 17, according to reports.
In the meantime, only 13,850 coins were added to the flowing stockpile in the month, according to Blockchain.com, implying that Bitcoin requests from ETFs alone were almost 272% greater than the total amount delivered.
“There’s insufficient stockpile available at current costs to fulfill demand,” and supply-request cost harmony should be rebuilt, stated Entrance Bitcoin prime backer, Jesse Myers, as market forces began to accelerate following Donald Trump’s official political race victory in November.
On January 6, crypto scientist Vivek predicted a “supply shock” after witnessing BTC trading adjustments plunging to new lows.
In the meantime, Jan. 3 was another massive day for Bitcoin ETF inflows, with more than $900 million in Bitcoin purchased, and Jan. 6 is expected to be even bigger, with about $1 billion in inflows, according to preliminary information.
Major Bitcoin digger invention.
The majority of the main Bitcoin mining companies have released their production figures for December. MARA Property, the largest mining company by market value, disclosed a creation figure of 9,457 BTC in December.
Revolt mined 516 BTC in December, up 4% from the previous month, while Cleanspark delivered 668 coins, according to its creation report on January 6.
In December, Center Logical mined 291 Bitcoin with its excavators, while Bitfarms mined 211 BTC. Terawulf obtained 158 self-mined Bitcoin, and cloud mining supplier BitFuFu created 111 coins.
When Bitcoin mining output increases, it typically means more miners are participating in the network, or existing miners have upgraded their equipment, boosting the total hash rate and mining efficiency.
Here’s What This Could Mean for Investors
- Increased Supply: More mined Bitcoin increases the circulating supply, potentially putting downward pressure on prices if demand doesn’t keep pace.
- Network Security: A higher hash rate makes the network more secure, which could boost investor confidence.
- Profit Margins for Miners: Increased competition may reduce mining profitability, possibly affecting mining-focused investments.
- Market Dynamics: Investors might see short-term volatility as supply and demand adjust to changes in mining output.
However, this is not investment advice, only a guide
