Bitcoin’s price surge is attracting a shift in capital flow, with long-term holders selling to short-term, FOMO-driven investors. This dynamic reflects a change in market sentiment as BTC approaches the $100,000 mark.
Notably, Bitcoin whales’ unrealized profit ratio sits at approximately 1.2, signaling that the market is not yet overheated despite the rally. For comparison, during March’s decline, this ratio peaked at 2.
Currently, whales are showing resilience, which suggests room for further bullish momentum. Monitoring this metric remains essential for understanding market sentiment and gauging the likelihood of profit-taking events.
Additionally, Bitcoin’s Taker Buy/Sell Ratio on Binance highlights increased buying activity, with takers snapping up buy orders following a period of downturn.
This trend suggests reduced sell pressure and renewed optimism, potentially fueling a continued bullish run. Traders view this moment as crucial for sustaining Bitcoin’s upward trajectory near the $100,000 milestone.
Meanwhile, institutional activity has been ramping up. Since November 1, Mt. Gox has transferred 6,900 BTC (approximately $588 million) to B2C2 Group. These transfers occurred in multiple smaller transactions, ranging from 8.5 BTC to 281 BTC, with 2,220 BTC ($220.4 million) moved in the past six hours alone. Despite these movements, Mt. Gox still holds a significant 38,004 BTC ($3.81 billion).
On the ETF front, Bitcoin spot ETFs recorded net inflows of $598 million on December 12, marking 11 consecutive days of positive flows. BlackRock’s IBIT ETF led the charge with a single-day inflow of $432 million. The total net asset value of Bitcoin spot ETFs now stands at $112.546 billion, underscoring the growing institutional interest in BTC as it climbs higher.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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