Bitcoin Reaches New High of $111,900 Amidst Institutional Buying Pressure
Bitcoin reached a new all-time high of $111,900 before settling at $107,800. Analysts highlight that institutional activity is driving this momentum despite retail interest being subdued.
- CryptoQuant analyst Darkfost emphasizes that spot Bitcoin ETFs do not accurately reflect institutional interest, suggesting that the Coinbase Premium Gap is a more reliable indicator.
- The Coinbase Premium Gap measures price differences between Coinbase Pro and Binance, currently at a 30-day moving average of 55, indicating strong US institutional buying pressure.
- Daily inflows into Bitcoin are over $330 million, suggesting strategic accumulation by large players.
Market Indicators
- The Bitcoin Combined Market Index (BCMI) has shown a bullish trend with a 7-day SMA of 0.6, while the 90-day SMA remains neutral at 0.45.
- This combination suggests short-term optimism within a stable long-term trend.
- Woominkyu notes rising on-chain sentiment and diminishing profit-taking may indicate an early accumulation phase.
Whale Activity and Institutional Moves
- Whales holding between 100 and 1,000 BTC have added 337 new wallets and accumulated 122,330 BTC in the last six weeks, often signaling market shifts.
- GameStop purchased 4,710 BTC, reflecting its transition towards digital assets.
- Pakistan announced plans for a strategic Bitcoin reserve, inspired by recent US government actions.
These developments suggest growing institutional interest and potential shifts in market dynamics.