Why is BlackRock Still Buying Falling Bitcoin?

▲ BlackRock Bitcoin/ChatGPT generated image ©

BlackRock is aggressively accumulating Bitcoin even amidst a price decline, reigniting the 'institutional accumulation → supply shortage' scenario.

According to the cryptocurrency media outlet Finbold on April 24 (local time), BlackRock, which operates the Bitcoin (BTC) spot ETF iShares Bitcoin Trust (IBIT), has increased its Bitcoin holdings by more than 5% since the beginning of 2026. Its holdings, which were approximately 770,290 BTC at the beginning of the year, have now increased to approximately 811,981 BTC, with an additional 41,691 BTC purchased this year alone.

However, the price trend was the opposite. As of January 1, 2026, the average price of Bitcoin was around $88,110, and the value of IBIT's held assets at the time was estimated at approximately $67.9 billion. Currently, the nominal value has decreased to approximately $63.6 billion, a reduction of $4.3 billion, and the price of Bitcoin has also fallen by more than 11% compared to the beginning of the year. Despite this, institutional funds are not withdrawing but rather continuing to accumulate.

This trend suggests that institutional investors are focusing on long-term strategies rather than short-term prices. In fact, IBIT investors, including BlackRock, have consistently increased their holdings even in a bear market, accumulating Bitcoin as a long-term asset.

On the supply side, there is a clear change. According to CryptoQuant data, the amount of Bitcoin held on exchanges has decreased by 3.26%, from approximately 2.76 million BTC at the beginning of the year to approximately 2.67 million BTC currently. This means that the amount of Bitcoin actually available for trading in the market is decreasing, which could lead to upward price pressure if demand is maintained.

Ultimately, the key is 'supply reduction'. If BlackRock's continuous accumulation and the decrease in exchange holdings coincide, the Bitcoin market is likely to approach a structurally undersupplied state. There is also growing speculation that if institutional buying continues, the current bearish trend could rapidly reverse into a sharp rebound.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*