According to an analyst, the selling pressure from long-term holders has suppressed the growth of Bitcoin prices, despite recent institutional and corporate purchases of the asset.
“People are wondering why Bitcoin has remained around $100,000 for so long despite institutional FOMO,” said Charles Edwards, founder of Capriole Investments, on Sunday (June 29).
He added that this is mainly because Bitcoin's OGs—early holders—have been “selling to Wall Street” and “unloading their positions” since the launch of the spot Bitcoin exchange-traded fund in January 2024.
Edwards shared a chart showing the growth rate of Bitcoin holders, with a surge in the six-month holder group, representing a new wave of Bitcoin treasury companies. “The amount of Bitcoin acquired by this group in the past two months has completely consumed all the Bitcoin sold by long-term holders over the past 1.5 years.”
Edwards predicts that these Bitcoin treasury companies will create “a massive flywheel buying frenzy” and push the ETF narrative to a secondary position.
“We have clearly entered today’s frenzy, as many imitators have entered the market,” he said.
Last week saw the emergence of several new corporate investors, including real estate giant Cardone Capital; Anthony Pompliano's venture capital firm ProCap, which plans to go public; mineral exploration company Panther Metals; and Norwegian deep-sea mining company Green Minerals.
Jeff Mei, COO of the BTSE cryptocurrency exchange, told Cointelegraph that in the short term, traders are taking profits ahead of the July 9 tariff deadline, as many expect core issues to remain unresolved.
“They are hedging against the risk of market price declines in case trade negotiations do not go smoothly,” he said, adding that an increasing number of listed companies are adding Bitcoin to their treasury operations. “While they need time to accumulate enough Bitcoin, we expect the market to stabilize next year as more long-term holders enter the market.”
Meanwhile, Han Xu, investment director of liquid funds at HashKey Capital, told Cointelegraph that investors and traders are waiting for this week’s U.S. macroeconomic data report and policy updates.
“Updates on trade agreements before the reciprocal tariff deadline, as well as progress on the Trump budget proposal, are key risks that need to be addressed to continue the bullish trend,” he said, warning that any surprises “could trigger a sell-off.”
Since Bitcoin's price broke the six-figure mark for the second time in early May, it has mostly fluctuated within a range. The asset has oscillated between $102,000 and $110,000, with several brief spikes and drops during that time.
Despite the lack of market activity, U.S. spot Bitcoin ETFs have seen inflows of over $3.2 billion in the past two weeks, with no outflows on any day. At the same time, the number of new Bitcoin treasury companies is increasing weekly.
On Monday (June 30), Bitcoin rose 1.2% and encountered resistance at $108,750, the highest level in two weeks, but failed to break through at the time of writing.
Related: Michael Saylor hints at purchasing Bitcoin (BTC) for the 11th consecutive week
Original article: “Analyst: Bitcoin (BTC) Price Stagnation Due to Early Holders ‘Dumping on Wall Street’”
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
