On-chain analyst William Clemente says U.S. investors have been piling on Bitcoin (BTC) since news of BlackRock’s exchange-traded fund (ETF) bid took center stage.
In a new interview with BTC bull Anthony Pompliano, Clemente say that there are three pieces of evidence suggesting US-based institutions have been actively building the crypto king since BlackRock announced its application for a spot-based Bitcoin ETF.
Looking at the various trading sessions throughout the day, Clemente points to the heightened activity of market participants in the US.
âWe can see trading ETFs in full swing at several points. But who set up that trade in the first place? It appears they are US based entities…
There are two things I see as proof of that. The first is the so-called cumulative return per session which we can look at from Velo data… We broke it down into trading sessions for the EU, APAC and then the US. What we can see is that especially since the BlackRock filing, but even a little earlier, we can see the US bidding more actively on BTC compared to those other trading sessions.â
Clemente also says that Bitcoin on Coinbase is trading “marginally higher” compared to other exchanges, pointing to the increased involvement of US-based companies.
Finally, the on-chain analyst is also keeping a close eye on the Chicago Mercantile Exchange (CME) futures open interest for BTC. According to Clemente, open interest in Bitcoin futures in the global derivatives market has skyrocketed since BlackRock’s ETF filing, indicating US institutions are gaining more exposure to BTC.
âThe final piece of evidence is also looking at CME futures open interest. So this looks at the total number of forward contracts outstanding on the CME. Who usually trades on the CME? They are not crypto degenerates who want to step on leverage. They are US based traditional companies. We can see a clear jump in CME futures open interest after the BlackRock ETF (application), about a billion dollars (value) of open interest was added during that period.
At the time of writing, Bitcoin is trading at $30,357.
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