If ETF demand is so strong, why hasn’t Bitcoin gone parabolic yet?

[chainsniff]

Since the launch of US spot Bitcoin ETFs in January 2024, ETF issuers have collectively bought more Bitcoin than has been newly mined. Yet prices have moved steadily rather than explosively, confusing many market participants who expected immediate upside.

According to Matt Hougan, the explanation lies in willing sellers. Early holders and long-term Bitcoin owners have been distributing coins into ETF demand, absorbing buying pressure. Hougan compares this to gold, where years of steady central-bank accumulation preceded a sharp price surge only after sellers were exhausted.

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etfs absorbing supply while og holders quietly sell is way less exciting than ppl expected