$15k Might Be The Tip of the Iceberg for Bitcoin
Given the information that the Bitcoin available to trade has dropped to early 2017 levels, it can be concluded that BTC has between 6 to 12 months of upward movement. This is given the assumption that the time Bitcoin will take to post a new all-time high, will be similar to that taken in 2017.
Therefore, an earlier prediction by Bitcoin Analyst MagicPoopCannon of Bitcoin testing $80k or $90k next year might be a good forecast of what might transpire in the next few months.
- The amount of Bitcoin available for traders has dropped down to 2017 levels
- Most of the Bitcoin is now held by investors aka hodlers
- Such investors include Grayscale that has added 40k Bitcoin to its holdings in the last 30 days
- $15k might be the tip of the iceberg as Bitcoin could soar further in 2021
The amount of Bitcoin available for trading is currently at low levels last seen in 2017. This is according to an analysis done by the Chief Economist of Chainalysis, Philip Gradwell, who shared his views via the following tweet.
My Market Intel Report this week gives the data that shows bitcoin going $15k+ in the face of US election uncertainty is an anecdote in the trend since mid-March: that bitcoin is seen as an asset to hold in a world of macro uncertainty and there isn’t much supply available to buy pic.twitter.com/mygG7cDOlf
— Philip Gradwell (@philip_gradwell) November 6, 2020
Bitcoin Investors Are Holding BTC Amidst Economic Uncertainty
In his tweet, Mr. Gradwell explains that Bitcoin (BTC) is now viewed as ‘an asset to hold in a world of macro uncertainty’. Therefore, ‘there isn’t much supply available to buy’.
Also part of his analysis is a chart that shows a continual decline in Bitcoin available for trading (yellow line). As this amount drops, the Bitcoin held by investors continues to increase with time (orange line). From the shared chart, it can be observed that an increment in Bitcoin holders has resulted in the price of Bitcoin also rising with time.
GrayScale Continues to Scoop Up Bitcoin
Also worth mentioning is that the Grayscale has continued to accumulate Bitcoin. In the last 30 days, the firm has purchased approximately 40,000 BTC worth more than $600 million. Furthermore, and in their latest market update, Grayscale now has approximately $9.1 Billion in digital assets under its management. Of this amount, $7.648 Billion is allocated to its Bitcoin trust. This information can be found below.
11/06/20 UPDATE: Net Assets Under Management, Holdings per Share, and Market Price per Share for our Investment Products.
Total AUM: $9.1 billion$BTC $BCH $ETH $ETC $ZEN $LTC $XLM $XRP $ZEC pic.twitter.com/F3bEvvZqLq
— Grayscale (@Grayscale) November 6, 2020