On-chain data shows millionaires are flocking to Bitcoin…and there isn’t enough for all

2021-1-16 07:00

Demand for Bitcoin increased multifold in 2020. And on-chain data shows the asset’s limited supply may be causing a rush.

The Bitcoin FOMO train

Bitcoin, the world’s largest cryptocurrency, saw a push in demand last year amidst a bleak economic outlook, concerns of dollar inflation, weakened fiat currencies, incessant money printing, and low yields in traditional assets.

The rally even saw institutional players sit up and take notice of the asset as it broke through its previous all-time high of $19,800 to as much as $41,750 in December 2020. Some of these included multi-billion funds like Guggenheim Partners, which filed its interest in BTC with the US SEC last year.

#Bitcoin is emerging in 2021 as the new, compelling institutional grade safe haven asset. Excess cash is a drag on shareholder value in the current monetary environment, so we can expect more firms to adopt Bitcoin as a treasury reserve asset.https://t.co/v3U697RpHv

— Michael Saylor (@michael_saylor) January 15, 2021

Others took the plunge. Paul Tudor Jones, billionaire investor and principal of Tudor Investments, put almost 2% of his capital into the asset class, stating it was a “great speculation” but the “fastest horse” among all other assets in the open market.

Technology firms FOMOed in as well. Fintech service Square, owned by Bitcoin advocate and Twitter founder Jack Dorsey, invested $50 million of its treasury funds into BTC, stating it was an instrument of “economic empowerment and provides a way for the world to participate in a global monetary system.”

But that didn’t eclipse business intelligence firm MicroStrategy’s chad-like Bitcoin buy. Starting in August 2020, the firm built a $1 billion position in the asset. Its biggest purchase came in December when it raised $650 million in a convertible note and used the proceeds to buy more Bitcoin.

What on-chain data says

Despite the volumes, institutional interest in Bitcoin is just getting started. On-chain analyst Willy Woo said in a tweet today that “whale spawning” season was now here, as a record number of big Bitcoin transactions showed.

Whale spawning season is here. (1000 BTC or more).

Very high net worth individuals are coming in, in droves.

This cycle is unlike any we've seen before. pic.twitter.com/ea2Slqq9wH

— Willy Woo (@woonomic) January 14, 2021

Woo further mentioned:

“The world has 47m millionaires, 71% of them live in the US or EU, there’s only 14.9m BTC in circulation, and only 4.1m BTC are liquid and therefore able to be bought.”

Such a sell-side liquidity squeeze likely caused the record Bitcoin purchases in the past month, which, in turn, pushed the price of the asset to over $23,000 and beyond, Woo stated.

Meanwhile, Woo added that data showed the supply of the 4.1 million “liquid” coins (or ones that were available to sell) was steadily dropping amidst the money printing and stimulus rounds. An observation that suggested the market is currently low on sellers.

The post On-chain data shows millionaires are flocking to Bitcoin…and there isn’t enough for all appeared first on CryptoSlate.

Similar to Notcoin - TapSwap on Solana Airdrops In 2024

origin »

Bitcoin (BTC) íà Currencies.ru

$ 69426.14 (+0.00%)
Îáúåì 24H $31.685b
Èçìåíåèÿ 24h: -0.67 %, 7d: 5.22 %
Cåãîäíÿ L: $69032.17 - H: $69527.29
Êàïèòàëèçàöèÿ $1367.837b Rank 1
Öåíà â ÷àñ íîâîñòè $ 36575.7 (89.81%)

bitcoin enough on-chain isn all shows millionaires

Èñòî÷íèê: cryptoslate.com

bitcoin enough → Ðåçóëüòàòîâ: 126


Ôîòî:

Tom Lee Says Bitcoin ‘Isn’t Broken.’ Actual Events Prove Him Right

Despite the sharp fall in Bitcoin (BTC) last week, Tom Lee, CEO of Fundstrat, is still spreading his strong bullish sentiment. In an interview for CNBC, Mr. Lee commented that Bitcoin (BTC) still had enough reasons to increase its value and that in fact, in the middle of the bearish market, there are signs to […] The post Tom Lee Says Bitcoin ‘Isn’t Broken.

2018-8-10 02:10


Bitcoin Trades Close to 200MA – Will This Stop the Bull Run?

Bitcoin’s price has soared over the past two weeks and with the price action approaching the 200SMA, the question on many trader’s minds is whether this will be enough to stop the bull run? Bitcoin is having its second consecutive loss today but with the drop being on low volume, it looks like the bullish […] Bitcoin Trades Close to 200MA – Will This Stop the Bull Run? was originally found on [blokt] - Blockchain, Bitcoin & Cryptocurrency News.

2018-7-30 17:04


Ïðåäñòàâèòåëü SEC ðàñêðèòèêîâàëà îòêàç â çàïóñêå áèòêîèí-ETF áðàòüåâ Óèíêëâîññîâ

Óïîëíîìî÷åííûé ïðåäñòàâèòåëü Êîìèññèè ïî öåííûì áóìàãàì è áèðæàì ÑØÀ (SEC) Õýñòåð Ïèðñ âûðàçèëà íåñîãëàñèå ñ ñîáñòâåííûì âåäîìñòâîì, ïîâòîðíî îòêàçàâøèì â çàïóñêå ïðèâÿçàííîãî ê áèòêîèíó áèðæåâîãî èíâåñòèöèîííîãî ôîíäà Winklevoss Bitcoin Trust.

2018-7-27 13:13


Notes on Blockchain Governance

In which I argue that “tightly coupled” on-chain voting is overrated, the status quo of “informal governance” as practiced by Bitcoin, Bitcoin Cash, Ethereum, Zcash and similar systems is much less bad than commonly thought, that people who think that the purpose of blockchains is to completely expunge soft mushy human intuitions and feelings in favor of completely algorithmic governance (emphasis on “completely”) are absolutely crazy, and loosely coupled voting as done by Carbonvotes and similar systems is underrated, as well as describe what framework should be used when thinking about blockchain governance in the first place.

2018-7-21 23:03


Ôîòî:

Litecoin’s Charlie Lee: Buy At Least 1 Bitcoin… Before Litecoin

Litecoin (LTC) creator Charlie Lee has advised cryptocurrency investors to buy Bitcoin (BTC) before any other asset – including Litecoin. Bitcoin First, ‘Shitcoins’ Later In a tweet dated July 17, Lee, who continues to pour time into Litecoin development and partnerships despite selling his own holdings earlier this year, appeared to refer to his creation as a “shitcoin.

2018-7-18 23:00


Ôîòî:

PoWx Seeks to Change Bitcoin Mining with “Optical PoW”

Nonprofit organization PoWx has launched this week with the goal of boosting the idea behind proof of work (PoW) through more innovative algorithms. The company is seeking to decentralize Bitcoin mining and make it more accessible to consumers through a new technology that executives have dubbed “optical PoW” — a new type of hardware that utilizes a more advanced and energy-efficient form of laser technology as the cornerstone of mining.

2018-7-14 01:04


äàëüøå åùå 77 íîâîñòåé →

Ïàðòíåðû Currencies.ru

Ðåêëàìà íà Currencies.ru

Ñàìîå ñâåæåå íà Currencies.ru

Bollinger Bands Inventor Foresees Bitcoin Pullback: Key Levels To Watch

Renowned financial analyst John Bollinger has recently issued a caution regarding the potential for a Bitcoin pullback. After BTC price surged from below $66,000 to almost $72,000 at the beginning of the week, Bollinger, the creator of the widely utilized Bollinger Bands indicator, pointed to specific features in the Bitcoin price chart that suggest a consolidation or pullback could be imminent, though he clarified that his perspective was not bearish on a longer term.

Perennial Bitcoin Accumulators Bought Big Ahead Of Rally, Data Shows

On-chain data shows that Bitcoin addresses with zero sales histories participated in a big accumulation before this recovery run started. Bitcoin Inflows To Accumulation Addresses Sharply Spiked Recently As explained by an analyst in a CryptoQuant Quicktake post, the accumulation addresses on the Bitcoin network have shown some significant inflow activity recently.

Bitcoin “Profit-Taking Has Completed,” Top Analyst Reveals

An analyst has explained how profit-taking looks to have finished for Bitcoin in what has been a “very healthy reset” for the market. Bitcoin SOPR Suggests Profit-Taking From Investors Has Cooled Off In a new post on X, analyst Willy Woo has discussed about the latest trend occurring in the Bitcoin Spent Output Profit Ratio (SOPR).

4 Key Reasons Why The Bitcoin Bull Run Is Far From Over

In an analysis shared via X, renowned crypto analyst Ted (@tedtalksmacro) has provided compelling evidence to support his assertion that the current Bitcoin bull run is far from over. Ted’s insights are based on four critical indicators related to traditional finance and crypto liquidity, each pointing to sustained growth in the near future.

Bitcoin Not Out Of Danger Yet, NVT Golden Cross Warns

On-chain data shows the Bitcoin Network Value to Transactions (NVT) Golden Cross still has a high value, a sign that may be bearish for BTC. Bitcoin NVT Golden Cross Is Still Near Historical Top Zone In a CryptoQuant Quicktake post, an analyst discussed the recent trend in the NVT Golden Cross for BTC and its implications for the price.

Bitcoin Hash Ribbons Form Capitulation Signal: What It Means

On-chain data shows the Bitcoin Hash Ribbons have recently gone through a crossover. Here’s what it could mean for the cryptocurrency. Bitcoin Hash Ribbons Suggest Miner Capitulation Is On As explained by CryptoQuant community manager Maartunn in a Quicktake post, miners are capitulating right now if the Hash Ribbons indicator is to be believed.

Bitcoin Deja Vu: Indicator Mirrors Pattern That Led To 2021 Top

On-chain data suggests a Bitcoin indicator is currently mirroring the same trend that led to the top of the bull run in 2021. Bitcoin Long-Term Holder Distribution Appears To Be Ending As explained by CryptoQuant community manager Maartunn in a post on X, the BTC long-term holders are currently showcasing a trend that’s reminiscent of […]