According to Cryptoquant founder Ki Young Ju, institutional demand for Bitcoin remains high. In his social media post, Zhu drew attention to the structure of assets in American wallets held in custody, including ETF.
According to Zhu, outside of exchanges and miners, US wallets typically hold between 100 and 1000 BTC. This structure highlights the growing demand for Bitcoin from this group of investors. Cryptoquant data shows that over the past year, institutional investors have added 577,000 BTC, worth $53 billion, to their wallets.
The chart attached to his post shows the divergence between demand for Bitcoin and its price, indicating a buildup of momentum that could trigger a sharp price change in the future.
It’s worth noting that institutional demand has had a significant impact on the price of Bitcoin over the past two years. Following the US Securities and Exchange Commission’s approval of spot bitcoin ETF, BTC has started a steady uptrend. Cryptocurrency broke out of a protracted bearish trend, setting new records.
Bitcoin’s rally lasted for about 18 months, reaching an all-time high above $126,000. Currently, despite the bullish forecasts dominating the crypto community, kriptovalyuta entered into correction.