As this article is written, Bitcoin is stable. It is currently moving upward. Its prices have risen over the past five years, perhaps reaching an all-time high. Despite the recent drop that has taken the world’s most valuable coin to spot rates, interesting trends emerge that show confidence, especially among whales.
Whales are quickly collecting bitcoin
According to data published by IntoTheBlock on July 19, the whale population is on the rise. The data shows that there has been a sharp increase in the number of addresses holding at least 1000 BTC. This number has reached a two-year high because of their increased coin purchases. The increase in purchasing power shows that whales, which are mainly wealthy individuals and institutions, are optimistic about the future of Bitcoin.
Whales accumulating Bitcoin | Source: @intotheblock via X
It is interesting to note that US issuers of spot bitcoin ETFs have held firm despite the whales piling in. These issuers have collected additional coins as directed by their clients following the price contraction that occurred in June and early July.
With more than $20 billion in bitcoin under management, BlackRock is the largest spot ETF issued, according to SosoValue. The fund manager bought more than $102 million worth of bitcoin on July 19.
Bitcoin price trending higher on the daily chart | Source: BTCUSDT on Binance, TradingView
The demand for Bitcoin from institutions will only grow when prices surpass $60,000. This will direct more money toward Bitcoin ETF issuers and drive up prices.
Why is retail request so moo in spite of Trump’s crypto support?
Politics can also have a positive impact on Bitcoin. Donald Trump appears to be ahead of the incumbent president in the highly competitive US presidential election. Trump intends to establish the United States as a hub for cryptocurrency mining. He has changed his position on the matter and has even accepted donations in Bitcoin. Many say that if the former president wins re-election, the administration should think about designating Bitcoin as a strategic asset. If this is true, there will be a network effect whereby all other countries will aspire to hold Bitcoin together with the United States.
Retail demand at 3-year low | Source: @ki_young_ju via X
Still, one expert said retail demand for bitcoin is at a three-year low, despite the optimism. Retail buying activity has increased dramatically before major cryptocurrency bull runs in the past.
Their slowdown in action could be a cause for concern. However, it could also mean that market dynamics have changed and institutions are in the driving seat.
