spot_imgspot_imgspot_img

Increase in Institutional Interest in Bitcoin Leads to New ATH in Supply Stagnation

  • According to Ark’s analysis, nearly 70% of circulating Bitcoin has not moved for at least one year.
  • In June, Bitcoin closed at $30,460 and showed a monthly increase of 11.9%.
  • Last week, Ark stated that BlackRock’s ETF application could be a “turning point” for Bitcoin.

According to ARK Invest’s new report, 70% of circulating Bitcoins have not moved for 1 year; Institutional sensitivity towards BTC is improving.

ARK Invest’s Bitcoin Report Released

ark-invest

In Ark Invest’s latest Bitcoin report for June, attention was drawn to the support from strong investors and the improving institutional sensitivity towards Bitcoin, the leading cryptocurrency.

According to Ark’s analysis, nearly 70% of circulating Bitcoin has not moved for at least one year, indicating the strengthening of investors and the confidence of long-term Bitcoin investors.

bitcoin-lth-supply

In June, Bitcoin closed at $30,460 and showed a monthly increase of 11.9%. The cryptocurrency found strong technical support at the 200-week moving average level and closed above 14% of the bearish level.

bitcoin-metrics-3

Improving Institutional Sensitivity

Since BlackRock applied for a spot Bitcoin ETF on June 15, the discount rate of the Grayscale Bitcoin Trust (GBTC) based on asset value has decreased from 42% to 30% and reached its lowest level in a year. The narrowing discount rate may reflect the market’s expectation for Bitcoin ETF approval and increase the likelihood of GBTC becoming an ETF.

Last week, Ark stated that BlackRock’s ETF application could be a “turning point” for Bitcoin. A few days later, Cboe corrected an application to distribute a BlackRock-like surveillance sharing agreement that includes Ark’s own Bitcoin ETF application. According to Bloomberg, Ark is in the lead in the race for a spot Bitcoin ETF, including Invesco, Valkyrie, and Fidelity’s applications.

Meanwhile, Bitcoin balances on over-the-counter (OTC) desks, serving as an indicator of institutional activity, reached the highest level in a year in June, with OTC Bitcoin balances increasing by 60% at the end of the quarter. This increase indicates that institutions and major capital allocators are increasingly focusing on Bitcoin as an investment option.

Stablecoin Trends

The report also highlighted a divergence in trends between USDC and Tether. While USDC has experienced a 37% decrease in supply since the beginning of the year, Tether has increased by 25% and reached an all-time high in June. Ark noted that this divergence is due to the uncertain regulatory environment in the United States pushing some crypto activities overseas and the issues that arose after USDC temporarily froze in March when Circle disclosed its failed Silicon Valley Bank’s USDC reserves of $3.3 billion.

Despite positive indicators for Bitcoin, Ark’s report drew attention to economic challenges. Data from the manufacturing sector shows a decrease in new orders in the Purchasing Managers’ Index. In addition, the US Gross Domestic Product (GDP) has shown consecutive contractions, indicating a possible recession.

Don't forget to enable notifications for our Twitter account and Telegram channel to stay informed about the latest cryptocurrency news

spot_imgspot_imgspot_imgspot_img

Latest News

XRP Surges Over 9%: Analysts Eye $2 Milestone Amid Altcoin Rally

This article explores the recent surge in XRP's value, surpassing the $0.64 threshold, and the optimistic projections by market analysts for its potential to reach $2, marking a significant milestone amid the altcoin rally.

Bitcoin BTC’s Resilience Shines as Over 1 Million Addresses Fuel Accumulation Surge

In a recent display of resilience, Bitcoin edges close to its all-time highs, buoyed by significant accumulation from over 1 million addresses and insights from leading analysts predicting a bullish market cycle.

Bitcoin Hits Local High with 97% of Addresses in Profit: A Look into HODLer Sentiments

In the wake of Bitcoin's surge to a new local high, an impressive 97% of BTC addresses are now in profit, reflecting robust market health. However, the cautious stance of long-term holders signals mixed market sentiments.

Bitcoin Cash Surges 40% Ahead of Halving and Jessica Upgrade!

In a remarkable 24-hour period, Bitcoin Cash (BCH) soared 40%, driven by anticipation for its halving event and the implementation of an adaptive block size limit algorithm, signaling strong investor confidence and a bullish outlook for the cryptocurrency.

Bitcoin Hits New 2024 High: 671,000 BTC Accumulated by Whales in Key Demand Zone

Bitcoin's impressive rally to a new 2024 high is underpinned by a massive accumulation of 671,000 BTC by one million addresses, highlighting strong investor confidence and setting a robust support level.
spot_imgspot_imgspot_imgspot_img

PRO Analysis

Ethereum Breaks $3K as Rally Continues: What’s Next for ETH?

This article dives into Ethereum's recent surge past $3,000, analyzing the technical indicators and market dynamics driving its ascent and future prospects.

Will Bitcoin Rise To $50,000? Current BTC Analysis

Bitcoin is trading at $48,400 and may rise to $50,777 if it closes above $48,200. However, caution is advised in the range of $50,777 - $52,000. Corrections are common in the crypto market, so careful consideration is necessary before spot investments.

Where is the Solana Rise Target? Current SOL Analysis!

Solana is trading near the $108 resistance on the 8-hour chart, with a potential target of $111.84 if it surpasses this level. However, caution is advised in the $111.84 - $117.20 resistance range on the 6-hour timeframe.

Medium Term Ethereum Technical Analysis! What Awaits Its Investors?

When examining the medium-term technical chart of Ethereum, strong buying pressure is observed, pushing the price up from the $2139 support to the $2350 region. However, for the price to sustain its upward movement, it needs to surpass the $2407 resistance.

Can Bitcoin Fall To $35,000 Levels? Current BTC Analysis

When examining Bitcoin's 5-day technical chart, the analysis from January 18 is ongoing, indicating a continued downward movement from the $48,189 level. Bitcoin needs to close 5-day candles above the $44,200 resistance to gain momentum for an upward trend. 
Lucien Renard
Lucien Renardhttps://en.coinotag.com/
Lucien Renard is a 24-year-old writer specializing in cryptocurrency analysis and price action. With a focus on technical analysis, Lucien provides valuable insights into market trends and potential opportunities for investors.
spot_imgspot_imgspot_imgspot_img

XRP Surges Over 9%: Analysts Eye $2 Milestone Amid Altcoin Rally

This article explores the recent surge in XRP's value, surpassing the $0.64 threshold, and the optimistic projections by market analysts for its potential to reach $2, marking a significant milestone amid the altcoin rally.

Bitcoin BTC’s Resilience Shines as Over 1 Million Addresses Fuel Accumulation Surge

In a recent display of resilience, Bitcoin edges close to its all-time highs, buoyed by significant accumulation from over 1 million addresses and insights from leading analysts predicting a bullish market cycle.

Bitcoin Hits Local High with 97% of Addresses in Profit: A Look into HODLer Sentiments

In the wake of Bitcoin's surge to a new local high, an impressive 97% of BTC addresses are now in profit, reflecting robust market health. However, the cautious stance of long-term holders signals mixed market sentiments.