Sharp surge in the accumulation of BTC by institutions has been recorded

The expert of the CryptoQuant portal believes that large investors are interested in long-term investment

03.07.2023 - 16:05

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What’s new? A blockchain analyst under the nickname OnchainTarek has revealed a significant upward trend in the accumulation of bitcoins by institutional investors. According to him, this indicates a strong interest in buying the asset, even at current price levels. As of July 3, 15:25 UTC, the first cryptocurrency is trading on Binance at $30 906, having added 2,09% per day and 1,6% per week (CoinGecko’s data).

#Bitcoin Institutional Fund Accumulation Trendsby @OnchainTarekThread🧵 pic.twitter.com/ZHe0gdoTxa— CryptoQuant.com (@cryptoquant_com) July 3, 2023

What else is known? According to OnchainTarek, institutions are actively looking for long-term investment opportunities in BTC, showing a more patient approach compared to short-term investors who closely monitor price fluctuations. The expert noted that monitoring fund reserves not only provides insight into market sentiment but also underscores institutional investors’ confidence in bitcoin as a long-term asset.

BlackRock CEO positively assesses the prospects of bitcoin in the global asset market

However, Larry Fink noted that despite people’s interest in BTC, the volume of transactions with it is still small

In turn, experts at analytics platform Glassnode noted that long-term BTC holders remain in gradual accumulation mode, having collected a total of 1,01 million coins over the past 602 days. They currently hold 14,47 million bitcoins, just 20 000 BTC less than the all-time high (ATH) of 14,49 million coins set about a month ago.

#Bitcoin Long-Term Holders have remained in a regime of gradual accumulation, amassing a total of +1.01M BTC over the last 602 days.This has culminated in a Long-Term Holder supply of 14.47M, just -20K BTC shy of the ATH value of 14.49M. pic.twitter.com/JHbxWIjLhn— glassnode (@glassnode) July 3, 2023

According to blockchain analyst Willy Woo, bitcoin could rise to $310 000 if the eight largest US companies in traditional finance, including BlackRock, invest 5% of assets under management in the cryptocurrency in the near term.

Earlier, crypto analyst Crazzyblockk warned that amid the outflow of liquidity from centralized exchanges (CEXs) and increased leverage in futures markets, the probability of “extreme price fluctuations” of the BTC rate is growing.

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