Bitcoin currently in progress (Bitcoin) A hallmark of the bull market is Wall Street’s embrace of much-needed physical exchange-traded funds (ETFs). Still, this rally is creating “billionaires” but at a slower pace than the upward trend in 2020-2021.
The top cryptocurrency by market value has risen 70% this year, setting a new record of over $72,000. The rally follows a 155% jump from the depths of last year’s brutal bear market.
Less than 2,000 millionaires, or wallets containing $1 million worth of Bitcoin, are created every day, according to data tracked by Paris-based Caico. This is significantly lower than the previous bull run, which produced over 4,000 millionaire wallets per day and his 2,000 wallets with balances of $10 million per day.
The slow pace could mean that the bull market is still in its early stages and the pace of inflows has not yet peaked. This conclusion is consistent with the market consensus that continued inflows into spot ETFs and reduced supply due to the impending halving could push prices above $150,000 in the coming months.
“this [slower growth rate of millionaires] (1) New capital has not yet fully arrived. (2) As BTC hits new highs, large whales are taking profits. (3) Whales keep their holdings in custodians rather than in personal wallets,” Kaiko said in his weekly newsletter.
Recently, the liquidity gap between the seller and buyer sides of the order book within 2% of the market price has widened to nearly five times the normal amount, suggesting that limit orders on the seller side are accumulating. This is a sign that investors are paying attention. Profit near all-time highs.
