What happened with BlackRock's IBIT Bitcoin ETF?

A trader sold 29.2 million shares of BlackRock's Bitcoin ETF, IBIT, in a block transaction worth approximately $1.26 billion. The sale was executed through a dark pool, a private venue used by institutions to complete large trades discreetly.

Why does NYDIG believe a whale exited a Bitcoin position?

According to Greg Cipolaro, the seller accepted a price $1.01 below the market rate and gave up roughly $29.5 million to secure immediate execution. This behaviour suggests a large investor prioritised a rapid exit over obtaining the best possible price.

What is a directional trade?

A directional trade is an investment based on the expectation that an asset's price will move higher or lower. NYDIG believes the transaction was more likely a large investor closing a bullish or bearish Bitcoin-related position rather than unwinding a hedged strategy.

What is a dark pool and why was it used?

A dark pool is a private trading venue that allows institutions to execute large orders without immediately revealing them to the public market. Using a dark pool can help reduce market disruption and minimise price swings during large transactions.

Did the $1.26 billion sale significantly impact Bitcoin?

Bitcoin fell approximately 2.8% on the day of the transaction. However, analysts noted that the market absorbed the sale relatively well given its size, suggesting strong underlying liquidity.

Why is the seller's willingness to sacrifice $29.5 million important?

The discount indicates urgency. Rather than selling gradually over multiple trading sessions, the investor appeared willing to incur a substantial cost to exit the position immediately, which has fuelled speculation about the motive behind the sale.

Could the sale have been caused by ETF redemptions?

Possibly. Cipolaro noted that investor redemptions, balance-sheet pressures or forced selling cannot be ruled out. However, he believes the available evidence is more consistent with discretionary liquidation by a large holder.

How are Bitcoin ETFs performing overall?

US-listed spot Bitcoin ETFs have experienced 11 consecutive trading days of net outflows. More than $2.9 billion has left the sector since May 14, reflecting weaker investor demand during the period.

Image for illustrative purposes only. Not a real photo.

NYDIG sees whale behind $1.3B IBIT exit

Written by Brie CarterPublished Jun. 1 2026Last Updated Jun. 1 2026

A $1.26 billion block trade in BlackRock’s iShares Bitcoin Trust last week was likely a large investor exiting a concentrated Bitcoin position rather than unwinding a market-neutral strategy, according to NYDIG.

Greg Cipolaro, NYDIG’s head of research, said several indicators surrounding the sale of 29.2 million IBIT shares were consistent with a major directional holder seeking an immediate exit from the position.

“The key unanswered question is whether the seller was responding to idiosyncratic constraints or expressing a broader investment view,”

Said NYDIG Head of Research, Greg Cipolaro.

The transaction was executed through a dark pool at $1.01 below the market price of $44.17 per share, with the seller effectively giving up about $29.5 million to secure immediate execution and minimise market disruption.

Cipolaro said the willingness to accept such a discount suggested urgency, adding that at least one sophisticated investor was prepared to pay a significant premium to liquidate a $1.26 billion Bitcoin-linked holding without delay.

The trade occurred as US-listed spot Bitcoin ETFs logged 11 consecutive trading days of net outflows, with investors withdrawing $333.6 million on the same day as the IBIT sale and more than $2.9 billion leaving the sector since May 14.

Cipolaro said public data could not conclusively determine the seller’s motive, but weakening market conditions, continued ETF outflows and the costly execution method pointed more toward discretionary liquidation than routine portfolio rebalancing or investor redemptions.

At the time of reporting, Bitcoin price was $72,134.78.