Bitcoin 

 hit its lowest levels since the start of December after the Jan. 23 Wall Street open as anger grew over market selling.

FTX gets heat as Bitcoin dives

Data from Cointelegraph Markets Pro and TradingView followed BTC price action as it slumped to $38,505 on Bitstamp.

Barely recovered at the time of writing, Bitcoin faced a now-familiar cocktail of institutional sell-offs and low demand to retrace nearly two months’ gains.

Attention focused on the Grayscale Bitcoin Trust (GBTC), a giant investment vehicle still with more than $20 billion in assets under management despite billions of dollars of Bitcoin offloaded this month.

Jan. 23 saw approximately another 15,200 BTC ($590 million) transferred from known GBTC holdings to custodian Coinbase, per data from crypto intelligence firm Arkham.

This was slightly less than the day prior, but with the final figures not yet confirmed, commentators remained skeptical.

“Decrease from yesterday at the very least,” popular trader Daan Crypto Trades wrote in part of a reaction on X (formerly Twitter).

“Yesterday’s net flows on all ETFs were slightly negative so the other ETFs doing a decent job absorbing still.”

Daan Crypto Trades referenced the performance of the United States’ new spot Bitcoin exchange-traded funds (ETFs), inflows to which were going some way to counteract the GBTC exits.

Others blamed not GBTC operator Grayscale but forced liquidations, as well as offloading by defunct exchange FTX, which prior to its own demise had considerable GBTC holdings