Large holders of the first cryptocurrency over the past week have significantly increased their bitcoin purchases and added 142,000 BTC to their wallets.
The report of the analytical company Chainalysis presents a graph of changes in the number of bitcoins in the wallets of “whales” – owners of addresses with a balance of more than 1,000 BTC. At the beginning of the year, the inflow of bitcoins to such wallets amounted to 185,000 BTC, but then the “whales” either sold or bought the asset. However, over the past week, large holders bought 142,000 BTC, and compared to the beginning of the year, the whales have accumulated more than 200,000 BTC.
Analysts at Chainalysis note that fear of inflation is forcing large investors to invest in bitcoin, which is increasingly acting as a digital analogue of gold. In addition, such a sharp accumulation of BTC by “whales” may be a sign of long-term investments on the part of institutional investors.
The report also states that Bitcoin has growth potential in the DeFi space, where the first cryptocurrency is noticeably inferior to more complex assets like ETH. This requires greater acceptance of wrapped bitcoins. Now only 230,000 BTC are “wrapped”, because for this you need to entrust your assets to a third-party centralized company.
“I think a decentralized way of“ wrapping ”the coin is needed to apply Bitcoin to DeFi. Probably, this will require updating the Bitcoin protocol. Do not expect technical details from me – I am an economist, but I see the need for this. This will provide the first cryptocurrency with long life and value, and will also help the development of DeFi, ”said Philip Gradwell, chief economist at Chainalysis.
The fact that it is inflation that pushes cryptocurrencies to growth was previously stated by billionaire Peter Thiel, as well as analysts at JPMorgan Chase.
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