- U.S. custody wallets holding 100–1,000 BTC show rising institutional demand.
- Ju data shows institutional accumulation despite weak BTC price action.
- Traders see ongoing Bitcoin accumulation as a tailwind for the next bullish breakout.
According to Ki Young Ju, founder of Cryptoquant, institutional demand for Bitcoin remains strong. In his latest post on X, Ju highlighted the holding pattern of U.S. custody wallets, including ETF holdings.
Excluding exchanges and miners, U.S. custody wallets typically hold between 100 and 1,000 BTC each, according to Ju. This pattern highlights the growing demand for Bitcoin from this particular set of investors. Cryptoquant’s data reveals that institutional investors added 577,000 BTC, worth $53 billion, to their custody wallets over the past year.
Notably, Ju’s data-influenced post highlights a steady accumulation pattern among institutional investors. The chart attached to his post shows a divergence between Bitcoin demand and price, suggesting a momentum build-up that could trigger violent repricing in the future, as highlighted by post respondents.
Bitcoin is Preparing for the Future
One such respondent noted that the current trend reflects the early influx of institutional investors into the Bitcoin ecosystem. Another respondent likened the behavior to a slow-burning fire, and a strategy rather than a mere coincidence.
It is worth noting that institutional demand had a significant effect on Bitcoin’s price over the past two years. BTC embarked on a sustained uptrend following the approval of the spot Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC). The cryptocurrency broke out of an elongated bearish trend, setting new records.
Bitcoin’s Situation in the Past Two Years
The Bitcoin rally lasted about 18 months, culminating in its current all-time high of above $126,000, according to data from TradingView. In the meantime, the cryptocurrency has entered a retracement despite the bullish projections that dominate the cryptocurrency community.
Ju’s latest observation further highlights the fundamentals that support the prevailing bullish outlook for Bitcoin. Although the cryptocurrency has experienced significant bearish pressure over the past few months, users believe that the ongoing accumulation will form the tailwind for Bitcoin’s next move, which could see it target new records amid increasing demand.
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