Bitcoin Surges Past $97,000 Amid Institutional Demand and U.S. Government Transfer of 10,000 BTC

On December 3rd, COINOTAG reported that Bitcoin (BTC) briefly surged above $97,000 before retreating to approximately $95,000. This notable pullback followed the U.S. government’s transfer of 10,000 BTC linked to the Silk Road, valued at nearly $963 million at the time. This event has notably skewed the front-end volatility curve more towards put options, indicating heightened market caution. Despite this, institutional demand for Bitcoin remains robust, with a spot ETF attracting an impressive $350 million in inflows recently. Furthermore, MARA Holdings made headlines by acquiring $618 million in BTC in the last two months, echoing MicroStrategy’s bullish strategy. Moreover, companies like RiotPlatform are contemplating either suspending BTC sales or bolstering their holdings. Corporate interest in Bitcoin as a reserve asset is further underscored by Microsoft’s potential BTC investment. In the traditional market, U.S. stocks, particularly the S&P 500, continue to reach unprecedented heights, marking another significant milestone this year. Investors are keenly awaiting insights from the Federal Reserve’s upcoming policy meeting on December 17th and 18th, which may result in a third rate cut of 25 basis points, depending on forthcoming economic data.