Bitcoin continues to display impressive strength, recently surpassing $98,000. This surge follows a record-high of $108,268 last month, sparking excitement among investors, especially those with significant wealth. In a surprising twist, Bitcoin whales, known for their strategy of buying the dip, have switched gears and are aggressively accumulating large amounts of BTC even as prices rise.
Crypto analyst Ali Martinez recently highlighted that whales acquired over 70,000 BTC within just 48 hours. This massive investment, valued at over $7.28 billion, illustrates a strong belief in Bitcoin’s long-term potential by these high-net-worth individuals.
Despite the impressive price surge, large holders of Bitcoin are not showing signs of selling their assets. According to CryptoQuant analyst CryptoOnchain, the Realized Profit Ratio data indicates that whales believe Bitcoin has yet to hit its peak in this market cycle. The data suggests that the major players are still holding on, believing there’s more room for growth. The analyst stated, “Compared to the all-time high in previous cycles, the selling and profit-taking process by whales has not yet begun. This may indicate that we are still not at the ATH range for this cycle.”
The increased activity from these whales coincides with a rise in institutional interest in Bitcoin. MicroStrategy, a business intelligence leader under the direction of Michael Saylor, recently announced its acquisition of 15,350 BTC, bringing its total holdings to 439,000 BTC. Mining firms are also jumping onto the accumulation bandwagon, with companies like Marathon Digital increasing their Bitcoin reserves.
Yet, corporate adoption of Bitcoin remains limited. Recent data reveals that only 0.55% of Microsoft shareholders supported a motion to create a Bitcoin reserve, while just 0.01% of Amazon shareholders showed interest. OKG Research indicates that a mere 0.01% of global public companies currently hold Bitcoin, showcasing the vast untapped potential for institutional adoption.
Bitcoin’s latest surge can be attributed to shifting macroeconomic factors. With inflation fears lingering and skepticism towards traditional financial systems on the rise, along with potential central bank rate cuts expected in 2024, Bitcoin’s reputation as a hedge asset is becoming more prominent. Its digital scarcity paired with decentralized attributes makes it an appealing alternative for institutional investors looking to veer away from fiat currencies. Regulatory clarity in important markets like the United States is also enhancing investor confidence, with discussions around Bitcoin spot ETFs adding to the anticipation for broader participation from institutions.
As optimism grows, analysts are projecting ambitious price targets for Bitcoin. Bitfinex researchers recently predicted that Bitcoin could reach $200,000 by the second half of 2025, fueled by increasing institutional interest and decreasing market volatility.
As of now, Bitcoin is trading at $98,095, reflecting a 1.37% increase over the last 24 hours, hinting at an exciting future ahead for this digital currency.
