The number of bitcoin addresses containing more than 1,000 BTC ($ 39 million) hit a new all-time high of 2,334 after declining 3.7% in December, according to data from Glassnode. Compared to the end of 2017, the value has increased by more than 30%. The rapid growth in the number of such addresses at the last stage has been observed since mid-October 2020.
“The decline and renewed growth indicate a relative lack of interest in profit-taking among large holders, although almost all of their assets are currently profitable,” CoinDesk analysts said in a market research study.
According to BitInfoCharts, there are currently 6,633 bitcoin addresses with a balance of over $ 10 million. Kraken also reports that the number of bitcoins in wallets with at least 100 BTC increased by 47,500 BTC in December.
The growth in the number of large Bitcoin holders indicates an increase in institutional investor participation in the market since the beginning of 2020. Another sign of this phenomenon is new highs in trading volume and active positions in Bitcoin futures of the Chicago Mercantile Exchange (CME).
“While the Bitcoin rally in 2017 was fueled primarily by retail rush, in 2020 it was fueled by institutions,” analysts say. – The acceleration in the rate of public disclosure of investments in bitcoin as a portfolio asset by large institutional investors not only reinforces the role of bitcoin in the portfolio, but also attracts the attention of other investors. This self-fulfilling loop is likely to persist in 2021, especially amid rising uncertainty around currencies and inflation. ”
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