Bitcoin Hits New All-Time High Above $100,000 as Institutions Accumulate
Bitcoin has reached a new all-time high, crossing the $100,000 mark, as institutional investors and businesses continue to accumulate the cryptocurrency, driving the bitcoin price increase. This surge comes amidst signs of profit-taking but also strong long-term holding, indicating a healthy market environment.
Institutional investors and businesses have been driving the bitcoin price increase. Over 150 firms, including MicroStrategy, and public companies holding 725,000 BTC, have significantly contributed to the market dynamics. Corporate purchases represent 56.11% of Coinbase's volume. Meanwhile, the U.S. government holds 2.2 million BTC, and institutional investors like BlackRock's IBIT with $18 billion AUM are strategically positioning themselves.
Long-term holders remain steadfast, with only a minor level of distribution. Over 70% of the Bitcoin supply is held by mid to long-term participants. However, there are signs of profit-taking, with an uptick in realized profit indicated by the Spent Output Profit Ratio (SOPR). Some long-term holders may be selling, as indicated by a slight decrease in their supply percentage. Despite this, long-term holder supply continues to grow.
The bitcoin price growth shows no signs of slowing down, with new capital flowing in. The current bull cycle and institutional positioning suggest further price increases are possible. Despite some profit-taking, the market remains structurally strong, with long-term holders continuing to accumulate. As Bitcoin reclaims the $100,000 mark, investors eagerly await the next chapter in the cryptocurrency's story.
