Why BlackRock’s $125M Bitcoin move has BTC traders on edge
The post Why BlackRock’s $125M Bitcoin move has BTC traders on edge appeared on BitcoinEthereumNews.com.
The crypto market is showing strain. After failing to stay above $94,000, Bitcoin [BTC] fell 2.6% to a low of around $89,596, as of press time. At the same time, Ethereum [ETH] mirrored the move with a 3.72% drop to $3,038. This sharp correction has fueled fear among retail investors. Yet, behind the panic, institutional giants are increasing their commitments and doubling down. BlackRock deposited Bitcoin and Ethereum On the 5th of December, BlackRock deposited $125.5 million in BTC and $2.5 million in ETH to Coinbase. Analyst Ted Pillows warns that this could precede an institutional selling wave, potentially adding further instability. He said, “More selling?” And, hence, a question arises: Is the current dip a signal for deeper selling, or is it simply smart money quietly defining the new, higher floor of this ETF-driven cycle? Why did the move raise concern? The recent price drop, following Bitcoin’s inability to hold the $94,000 level, has inevitably focused attention on large institutional movements, specifically, BlackRock’s multi-million dollar deposit of BTC and ETH to Coinbase. In the crypto market, large transfers to exchanges are quickly seen as bearish, mainly due to liquidation risk, since they increase the supply that could be sold. With ETF outflows and macro uncertainty already heightening nerves, the market reacts sharply to such movements. So, if institutions did liquidate, the added supply could push prices lower, a fear reinforced by past cases where big deposits preceded corrections. For retail investors, seeing major funds move assets onto trading platforms often signals trouble ahead. However, this panic misses a key point: managing multi-billion-dollar ETFs often requires routine transfers that have nothing to do with imminent selling. More selling ahead? However, a deposit alone does not automatically equate to further sales. For an ETF issuer like BlackRock, such fund movements often…
Filed under: News - @ December 6, 2025 11:26 am