“BTC Investment Companies Increased But…Not As Much Impact On The Market As ETF Inflow”

Although companies incorporating Bitcoin (BTC) into their portfolios are increasing, their impact on prices is analyzed to be limited compared to Spot ETF fund inflows.

Cryptocurrency research firm K33's analyst Vetle Lunde stated in a report disclosed to TheBlock, “BTC price shows a clear correlation with ETF fund flows, and ETF inflows elicit stronger price reactions in the market compared to corporate investments.”

He noted, “The number of Bitcoins inflowed into Spot ETFs over the last 30 days is about 13,000, which is the lowest level since April 23rd, and accordingly, the Bitcoin price is showing a similar trend.”

On the other hand, companies investing in BTC have a less direct impact on prices because, “Many of these companies adopt a structure of swapping shares with Bitcoin, so it does not lead to actual buying pressure,” he explained. In other words, it's diagnosed that they do not significantly contribute to price rise pressure as they do not induce real demand in the market.

Ultimately, the key variable dictating the short-term trend of the Bitcoin market is still ETF fund inflows, and while the expansion of corporate holdings could be positive for long-term supply-demand stability, it has limited impact on short-term prices as analyzed.