BlackRock’s IBIT Reaches 600K BTC Milestone Amidst Institutional Powerhouses Driving Bitcoin Surge

The Bitcoin market is experiencing an unprecedented influx of institutional interest, with BlackRock’s iShares Bitcoin Trust (IBIT) surpassing 600,000 BTC in assets under management, possibly indicating a pivotal moment in the evolution of crypto assets.

This transformation is driven by an eight-day period of significant inflows, during which U.S. spot Bitcoin ETFs collectively amassed $3.9 billion, as reported by FarSide data.

Institutional Surge vs. Retail Withdrawal

Insights from market analysis platform Santiment suggest that this relentless influx of capital represents a renewed confidence among investors, coinciding with a period of diminishing concerns over global tariffs and geopolitical strife.

“Some traders seem to feel more at ease now that worries about new tariffs are subsiding. Others might be looking to benefit from the recent recovery in crypto prices,” noted Santiment analyst BrianQ.

Among the notable entities in this trend is BlackRock’s IBIT. The report emphasizes that a combination of liquidity, trusted branding, and extensive media coverage has positioned it as the favored option for institutions seeking Bitcoin exposure.

On April 29, IBIT acquired an additional 2,273 BTC valued at nearly $217 million, raising its total holdings to 601,209 BTC. This milestone both symbolically and practically secures BlackRock’s status as the largest institutional Bitcoin holder, while the next largest, Fidelity, holds just below 200,000 BTC.

However, amid the influx of institutional investment, Santiment’s findings highlight a troubling trend: Bitcoin’s price is rising while trading volumes are declining, a classic bearish signal that often precedes market corrections.

This phenomenon is particularly noteworthy against the backdrop of Bitcoin’s increase to $95,066. Typically, such price hikes attract increased trading volumes, reflecting broad market confidence. Instead, it appears that a limited group of well-capitalized investors—including ETF issuers and certain corporations—has been sustaining the market, leaving retail investors on the sidelines.

While the inflows into ETFs inherently boost demand, as issuers must acquire BTC to support their shares, the decreasing trading volume indicates that Bitcoin’s recent price surge may lack genuine support.

“There’s an emerging bearish divergence as we see prices rising alongside decreasing volume,” explained BrianQ. “This pattern often indicates a weakening rally, as it’s not backed by robust trading engagement.”

BTC’s Gradual Rise

Nonetheless, Bitcoin is maintaining its position around $95,000 following a significant breakout earlier this month. Over the past day, it has traded steadily within a range of $93,881 to $95,443, based on CoinGecko data.

In a broader context, the leading cryptocurrency experienced a modest weekly gain of 1.6%, surpassing the overall crypto market’s 1.3% increase during the same time frame. Its 14-day and 30-day percentage increases stand at 13.7% and 16.1% respectively, with the year-on-year growth exceeding 50%.