iShares Bitcoin Trust (NASDAQ:IBIT) Sees Large Growth in Short Interest

The iShares Bitcoin Trust (NASDAQ:IBIT - Get Free Report) has experienced a significant rise in short interest throughout the month of November. By November 30th, the total short interest reached 10,350,000 shares, marking a staggering increase of 176.7% compared to the 3,740,000 shares shorted as of November 15th. With an average daily trading volume of 43,660,900 shares, the current days-to-cover ratio stands at 0.2 days.

Institutional Investors Weigh In On iShares Bitcoin Trust

Recent activity among institutional investors indicates a strong interest in the iShares Bitcoin Trust. In the third quarter, IMC Chicago LLC acquired a new position in the trust valued at approximately $323,337,000. Meanwhile, Aristeia Capital L.L.C. raised its stake by 47.2% during the second quarter, bringing its total holdings to 5,940,411 shares, worth about $202,806,000. Similarly, Sculptor Capital LP expanded its investment in the iShares Bitcoin Trust by 188.1%, now owning 3,392,812 shares valued at $115,831,000 after adding 2,215,107 shares in the last quarter. D. E. Shaw & Co. Inc. saw a remarkable increase of 1,657.7% in their shares during the same period, now owning 2,636,608 shares valued at $90,014,000 after an additional purchase of 2,486,608 shares. Point72 Asset Management L.P. also entered the picture by acquiring a new stake valued at around $56,965,000 during the second quarter.

iShares Bitcoin Trust Stock Down 1.4%

On Thursday, the iShares Bitcoin Trust stock traded down by 1.4%, decreasing by $0.80 to hit $56.92. The trading volume for the day was recorded at 38,643,312 shares, surpassing the average of 34,608,938 shares. The stock has seen a 52-week low of $22.02 and a high of $59.16. Currently, the fifty-day moving average price of the stock stands at $45.62, while the 200-day moving average is $39.05.

iShares Bitcoin Trust Company Profile

The IShares Bitcoin Trust Registered (IBIT) is an exchange-traded fund primarily focused on long positions in Bitcoin, while taking short positions in US dollars. This passively managed fund aims to follow the spot price of Bitcoin and was launched on January 5, 2024, by BlackRock.

Investment Insights

Investors looking to enter the market may want to consider the implications of the significant uptick in short interest. While the analysts currently rate iShares Bitcoin Trust as a "Hold," there are other stocks identified as potentially better investments to consider.

Bitcoin, Investors, Stocks