Ju Ki-young (주기영), head of CryptoQuant, claimed that without buying by Strategy, formerly MicroStrategy, and spot bitcoin exchange-traded funds, the bitcoin price could still have fallen to around $22,000.

On June 6 (local time), blockchain media outlet CoinPost reported that Ju made the remarks in response to Jim Cramer’s criticism that “Saylor ruined bitcoin.”

Ju explained that over the past two years, Strategy and ETFs have absorbed 1.24 million BTC sold by long-term holders. Another user added that the actual absorbed amount was 2.74 million BTC. The user said listed companies took in 1.24 million BTC, and ETFs separately absorbed 1.5 million BTC.

He said that without Michael Saylor’s buying, more than 700,000 BTC could have been released into the market. He also claimed bitcoin could have fallen sharply as in past bear markets. On concerns in parts of the market about a “death spiral,” he called it an exaggerated interpretation and asked for counter data if any.

U.S. spot bitcoin ETFs recorded net outflows for 13 consecutive trading sessions from May 15 to June 3. Cumulative outflows totalled about $4.37 billion. On June 4, Michael Saylor said the outflows reflected a shift of capital into AI-related industries rather than a loss of confidence in bitcoin.

Institutional holdings also declined. Institutional investors’ bitcoin holdings fell 17 percent from the prior quarter to 261,000 BTC, and market value shrank to $17.8 billion. Hedge funds and securities firms led selling, while banks and government-affiliated funds increased holdings.

Some also raised the possibility that a bottom is forming. Geoffrey Kendrick, global head of digital asset research at Standard Chartered, said on June 4 that bitcoin was near a bottom, citing the possibility of repurchases by Strategy. Strategy sold 704 BTC on Dec. 22, 2022, then bought 810 BTC two days later.

Kendrick expected repurchases this time of about 320 BTC or about 3,200 BTC. He said confirmation of a repurchase could be a tentative signal that a bottom is forming. Spot bitcoin ETFs on June 4 returned to net inflows of $3 million, ending 13 straight sessions of net outflows. However, Strategy preferred stock STRC stayed at $93.17, a 6.8 percent discount to par value, and new issuance through at-the-market offerings and bitcoin purchases have halted.