The GBTC unlock on Sunday had more shares than the rest of the events combined.

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Even if unlocking events were able to directly cause Bitcoin sell-offs, data reveals that the worst is over.

Despite the continuing Grayscale Bitcoin Trust (GBTC) unlocking events, Bitcoin (BTC) is rebounding – and most shares have already been freed.

According to data from tracking resource Bybt, the remaining unlockings combined involve fewer shares than those which were released on just one day last weekend.

Putting an end to GBTC “FUD”

Around 16,240 BTC worth of GBTC shares were released on July 18 after a six-month lock-up period. The largest such release in a single day, the event drew a lot of attention, with debates raging about how it might affect the Bitcoin price.

When it comes to GBTC, Monday’s BTC price drop was timed, fitting a narrative that a sell-off would follow such massive releases.

Even if that were true, there is a silver lining for Bitcoin hodlers: unlockings are only scheduled until August 25, and the number of outstanding shares is lower than Sunday’s tranche.

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GBTC unlocking chart. Source: Bybt

In actuality, however, there is little evidence that unlockings result in sell-offs. As several sources point out, Bitcoin markets are effectively excluded from such events – GBTC shares cannot be redeemed for BTC, which might then conceivably be sold for cash or stablecoins.

“Grayscale just had the biggest GBTC unlock today and nothing exploded,” popular Twitter commentator Lark Davis wrote on Monday, citing the Bybt figures.

“One more big unlock on the 20th and then the whole GBTC crashing bitcoin narrative will be over. What FUD will they come out with next?”

Despite this, “FUD” had infiltrated some of the most well-known names in finance, including banking behemoth JPMorgan.

Earlier this month, a study indicated that “selling of GBTC shares exiting the six-month lockup period during June and July has emerged as an additional obstacle for bitcoin.”

The CEO is optimistic about GBTC’s performance.

Meanwhile, as previously reported, demand in GBTC and Grayscale’s other products continues to grow.

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In July, both Rothschild Investment Corp and ARK Invest increased their Bitcoin holdings, with the latter increasing its exposure by 310,000 shares.

 

“GBTC’s doing hundreds of millions of dollars a day in notional trading volume, and it really is the easiest way for many investors to add crypto exposure alongside stocks, bonds, ETFs, other things they may own,” Grayscale CEO Michael Sonnenshein told Bloomberg Monday.

Fidelity Asset Management’s study of institutions found strong long-term attitudes about cryptocurrencies, with 71 percent of respondents wanting to enter the market in the future.

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