Bitcoin Fundamentals Stay Bullish Into Q4 as ETFs Hold 12.2% of Total Supply
The post Bitcoin Fundamentals Stay Bullish Into Q4 as ETFs Hold 12.2% of Total Supply appeared on BitcoinEthereumNews.com.
ARK Invest says bitcoin’s fundamentals, adoption trends and macro environment are aligning to support continued strength into the final months of 2025, even as cycle dynamics signal the need for caution. On-chain signals point to structural strength In its latest “Bitcoin Quarterly “report for the three months ended Sept. 30, Cathie Wood’s ARK Invest argues that bitcoin’s core fundamentals remain firmly intact. The firm notes that network activity, profitability levels and supply distribution all continue to reflect strong underlying demand, with long-term holders showing few signs of capitulation. ARK points to what it calls “bullish” on-chain positioning, with the majority of coins remaining in profit and held by investors with low spending propensity. This dynamic, it says, has historically coincided with sustained bull market phases and offers a favorable foundation for price performance as the fourth quarter begins. The firm also highlights the growing role of mid-sized investors, who have steadily added to their positions in recent months. This renewed accumulation, combined with a slowdown in large-holder selling, suggests a healthier and more organic rally structure than in previous market cycles, according to the report. Institutional participation reaches new milestone ARK emphasizes that institutional adoption is continuing to expand at a rapid pace. Digital asset trusts and spot bitcoin exchange-traded funds now collectively hold about 12.2% of total supply — a record share that, in ARK’s view, underscores bitcoin’s deepening integration into traditional capital markets. The firm argues that this rising level of institutional participation provides a more stable demand base and increases the likelihood that bitcoin will be treated as a strategic portfolio allocation rather than a purely speculative asset. It also notes that regulated investment vehicles continue to absorb new supply, which could tighten available float and magnify the price impact of fresh inflows in the months ahead.…
