Bitcoin Surges Above $44,000 as Whales Accumulate More BTC
Bitcoin has surpassed the $44,000 mark for the first time since the approval of Spot Bitcoin ETFs in January. This price surge can be attributed to several factors that have favored the bulls in recent times.
BTC Whales Continue Accumulating Bitcoin
Data from Glassnode reveals that Bitcoin whales have been accumulating more BTC, with 73 new addresses now holding 1,000 BTC or more. This marks a 3.66% increase in the last two weeks and continues the trend of accumulation.
Previously, Bitcoin whales had been buying more BTC after its decline below $40,000. The decline was caused by significant selling pressure from Grayscale, the issuer of the GBTC Spot Bitcoin ETF. However, Grayscale has reduced its sell-offs lately as outflows from the fund decrease. Other whales like FTX and Alameda Research have also eased off on offloading their crypto tokens.
Institutional Demand Boosted by Spot Bitcoin ETFs
The launch of Spot Bitcoin ETFs has led to increased institutional demand for Bitcoin. Issuers like BlackRock, the world’s largest asset manager, have accumulated a significant amount of BTC. These asset managers now hold over 657,000 BTC, accounting for more than 3% of Bitcoin’s circulating supply. The newly listed Spot Bitcoin ETFs alone hold about 187,000 BTC and are on track to surpass MicroStrategy’s holdings.
Furthermore, there are rumors of Spot Bitcoin ETFs launching in Hong Kong, with 10 applications already submitted to financial regulators. This narrative could be driving Bitcoin’s current price surge, similar to how approval rumors in the US affected its price last year. Additionally, Thailand recently removed VAT on crypto trading, indicating growing enthusiasm for cryptocurrencies in Asia.
Bitcoin Price and Conclusion
As of now, Bitcoin is trading at around $44,800, experiencing a 4.4% increase in the last 24 hours. This surge in price can be attributed to the accumulation by whales and the institutional demand driven by Spot Bitcoin ETFs.
Hot Take: Bitcoin Surges Above $44,000 Amid Whale Accumulation and Institutional Demand
Bitcoin has broken the $44,000 barrier following the approval of Spot Bitcoin ETFs and increased accumulation by whales. The market has seen a surge in institutional demand as issuers like BlackRock accumulate significant amounts of BTC. Furthermore, there are rumors of Spot Bitcoin ETFs launching in Hong Kong, which could further boost Bitcoin’s price. These factors have contributed to the recent surge and highlight the growing interest in cryptocurrencies among institutions and investors. As Bitcoin continues its upward trajectory, it remains an attractive investment option for those looking to capitalize on its potential growth.
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