New Bitcoin Institutional Rally?
Bitcoin back over $18,000 as I type. Are institutions buying in? Many anlysts believe so.
Bitcoin Sees Aggressive Dip Buying, is it Institutions?
Bitcoin had a strong narrative to see a sharp pullback at the start of this week. There were large sell orders at $17,500 and high time frame charts, including the weekly and monthly charts, both hovered well above short-term moving averages (MAs).
Instead, BTC pushed past the $18,000 level for the first time since 2017. It is repeatedly testing the $18,500 resistance area, supplemented with strong buy orders across major exchanges.
Albeit it is difficult to pinpoint where the demand is coming from, many analysts believe the primary source of demand for BTC in the recent rally is institutions.
Based on the recent trend, Kevin Kelly, the head of global macro at Delphi Digital, said he expects Bitcoin to evolve into an established portfolio asset. He said:
“If our thesis proves to be correct, $BTC could replace a substantial portion of Treasury & sovereign debt in the average investor’s portfolio in the coming years, resulting in immense capital flows for such a nascent asset.”