The data obtained from CryptoQuant, an analytics tool, reveals that the amount of bitcoin (BTC) held in a single Coinbase Custody wallet witnessed a significant increase of 2,500 BTC shortly after BlackRock submitted an application for a bitcoin ETF. Coinbase Custody is a service provided by the cryptocurrency exchange that enables institutional investors to securely store large quantities of tokens, including bitcoin, in a protected wallet. If regulators grant approval to the request, Coinbase Custody will serve as the custodian for the bitcoin held in the BlackRock Bitcoin ETF.
According to transaction data, the bitcoin transferred to the custodial wallet originated from Coinbase (COIN), distinguishing it from the cold or hot wallets typically used by Coinbase to store customers’ holdings. This suggests that a major player most likely purchased the bitcoin on Coinbase and subsequently sent the holdings to the custodian wallet.
The data further reveals that the wallet in question previously held over 5,000 bitcoin, which were deposited between May 19 and May 20. Bradley Park, an analyst from CryptoQuant, conveyed in a Telegram message that BlackRock’s ETF filing might have generated positive sentiment among bitcoin holders and investors, potentially explaining the observed transaction. Park stated, “The BlackRock effect has positively influenced market sentiment and even encouraged institutional bitcoin purchases.”
In conjunction with these developments, trading volumes on Coinbase have nearly doubled over the past week, coinciding with a 20% increase in bitcoin prices. CoinGecko’s data illustrates that the exchange witnessed over $2 billion worth of token trades within the past 24 hours, which is twice the daily average of $1 billion recorded since the beginning of June.
Notably, bitcoin trading pairs against the U.S. dollar and tether (USDT) accounted for $900 million of these volumes, indicating strong demand among traders as the asset surpassed the $30,000 milestone on Thursday.
