This Bitcoin Bull Run Is Breeding Millionaire Whales at Slower Pace, Data Show

The BTC has recently experienced a rise in its price with the backing of huge financial firms in places such as Wall Street to have exchange-traded funds (ETFs) for it, something people have been waiting for a long time.

However, unlike a big upsurge in bitcoin’s price observed in 2020 and 2021, this higher-price period should be considered to be moving at a much slower pace now.

Bitcoin, the top cryptocurrency by market capitalization, has risen nearly 70% this year and its price exceeded 72,000 dollars a coin, it’s never before recorded a high value. This rally took place after an incredible 155% rise that followed a harsh bear market.

 According to the data recorded by Kaiko in Paris, there are less than 2,000 millionaires created (wallets with 1 million bitcoins) per day recently. This is quite lower than the previous time when it was around 4,000 millionaire wallets per day as well as more than 2,000 ones worth ten million dollars each.

The reduced rate of growth means that the current bull run can only be in its initial stage, with the arrival of investments still to peak. Thus, according to the market forecast, this price target could rise to $150,000 and possibly beyond in a short time. This possible increase is due to the investor inflows into the trading ETFs and the supply reduction caused by the upcoming halving.

Kaiko stated in their weekly newsletter, 

“The slower growth rate of millionaires could be due to several factors: The new capital has not reached the market completely. Bitcoin’s large holders have begun to sell at highs. Whales are storing their holdings with custodians, rather than personal wallets.”

Bitcoin wallets reaching $1M daily. (Kaiko)

Lately, there has been an increase in the gap within the buying and selling space with the liquidity of 2% of the market price, even getting as wide as the conventional five times. Therefore, the number of limit orders for selling on the sell side should rise considerably, hinting that traders want to use the profits that the rising market offers.

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