According to an analyst, long-term holders’ selling pressure stunted Bitcoin’s growth, despite recent purchases by corporations and institutions.
“People are wondering why Bitcoin has been stuck at $100K so long, despite the institutional FOMO,” said Charles Edwards, founder of Capriole Investments, spoke on Sunday.
He said that Bitcoin is the main reason for this.BTC) OGs — long-term holders — who have been “dumping on Wall Street” You can also find out more about the following: “unloading their positions” Since the launch of spot Bitcoin ETFs in January 2024.
Edwards posted a graph showing the growth of Bitcoin holders. The six-month cohort is surging and represents the new wave. BTC treasury companies.
“The amount of BTC acquired in the last two months by this cohort has completely consumed all of the BTC unloaded by LTHs over the last 1.5 years.”
Bitcoin flywheel
Edwards predicted these Bitcoin Treasury companies would create “a huge flywheel buying frenzy” The ETF story should be pushed to the background.
“We have clearly entered the heat of that today, as many copy-cats have entered the market,” “He said”
Related: Few Bitcoin treasury companies will survive ‘death spiral’: VC Report
Just last week several new corporate investors appeared, including the real estate giant Cardone CapitalAnthony Pompliano’s Venture Firm ProCapThe company plans to become public. Panther Metals; and Norwegian deep-sea mining firm Green Minerals.
Profit taking on the short-term
Jeff Mei is the chief operating officer of the BTSE cryptocurrency exchange. He told Cointelegraph, that traders in the near term are making profits ahead of the tariff deadline on July 9, as they expect the core issues will remain unresolved.
“They’re hedging against a plunge in market prices in case trade talks go south,” He said that Bitcoin was being added to the treasury of more public companies.
“While it’ll take time for them to accumulate enough Bitcoin, we expect the market to stabilize over the next year as more long-term holders enter the market.”
Han Xu of HashKey Capital’s liquid fund investment department told Cointelegraph, “Investors and traders are waiting this week for US macroeconomic reports and policy announcements.”
“Updates on trade deals ahead of the reciprocal tariff deadline, along with the progress of Trump’s budget bill, are both key risks that need to clear before a continuation of the bullish trend resumes,” He warned that surprises could be in store “could trigger a sell-off.”
Continues to trade in the sideways direction
Since early May, when bitcoin prices broke through six-figures for the second consecutive year, they have largely remained in a range. Asset has fluctuated from $102,000 to $110,000, with some brief dips and spikes.
Even though the spot market is inactive, it still has a lot of potential. Bitcoin ETFs The United States has seen more than $3 billion of inflows in the last fortnight without a single day with an outflow. In the meantime, new Bitcoin treasury firms continue to rise weekly.
BTC had gained 1.2% in the past day. It had reached its highest point for the last two weeks on Monday but failed to surpass it.
Magazine: Bitcoin ‘bull pennant’ eyes $165K, Pomp scoops up $386M BTC: Hodler’s Digest
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Source: cointelegraph.com
