Early Adopter Completes Massive Bitcoin Liquidation
Early Bitcoin adopter Owen Gunden transferred his final 2,499 Bitcoin to Kraken on Thursday, completing a month-long liquidation that totaled 11,000 Bitcoin worth approximately $1.3 billion. Blockchain intelligence platform Arkham tracked the systematic sell-off that began Oct. 21 and concluded with Thursday's $228 million transfer.
Gunden built his fortune as an arbitrage trader on Tradehill and Mt. Gox, moving tens of thousands of Bitcoin across platforms before Mt. Gox collapsed in 2014. Arkham estimates his current net worth at $561 million, ranking him eighth among crypto's wealthiest individuals. His complete position liquidation coincides with CryptoQuant's Bull Score Index dropping to 20 out of 100, indicating extreme bearish conditions.
Gunden's wallet history shows measured transfers over several weeks rather than panic selling. His trading background from Bitcoin's earliest exchange era positioned him among the first generation to accumulate substantial on-chain wealth. The complete liquidation removes one of the largest known early-holder positions from the market.
Shifting Market Structure: Institutional Ownership Surges Amidst Retail Outflows
Institutional ownership of U.S. spot Bitcoin ETFs reached 40% on Wednesday, up from 27% in Q2 2024 when 1,119 firms reported holdings. Bitcoin analyst Root noted the figure is conservative because only institutions managing over $100 million must file 13-F disclosures with the Securities and Exchange Commission. The divergence between whale exits and institutional accumulation defines current market structure.
U.S. spot Bitcoin ETFs recorded $2.8 billion in November outflows through Wednesday, according to Farside Investors data. BlackRock's iShares Bitcoin Trust logged its largest single-day redemption since launching in January 2024. The institutional ownership increase suggests firms are holding positions despite the retail-driven selling wave.
November's sustained ETF outflows mark a shift from earlier months when institutional buying supported Bitcoin through most of 2024. The weakening institutional demand heading into year-end has left Bitcoin confined to a narrow range around $90,000 as market participants await clearer directional signals.
Institutional participants maintaining positions through November's volatility indicates long-term allocation strategies remain intact despite short-term price weakness. The growing institutional share of ETF ownership represents a structural shift in Bitcoin's holder composition as early adopters exit and regulated investment vehicles absorb supply. Retail investors continue fleeing as market conditions show no immediate reversal, while institutions execute multi-year strategies independent of near-term volatility.