As Asia begins its Wednesday trading session, Bitcoin is trading above $105.5K, down slightly from $107K, where it stood during U.S. market hours.
Despite the recent geopolitical tensions, including a surprising U.S. strike on Iran, BTC has reaffirmed its status as a reliable store of value. Market data shows that Bitcoin has been relatively stable over the past month, with a 1% increase.
This return to a price just shy of BTC’s all-time high of $111K, reached in May, appears more calculated than exuberant, according to observers.
In contrast to the profit-taking wave triggered by Bitcoin’s breakout above $100K in December 2024, long-term investors now seem content to hold their positions, as noted in Glassnode’s latest report.
“HODLing seems to be the prevailing market strategy,” Glassnode analysts commented, pointing to an increase in long-term holder supply to 14.7 million BTC and historically low realized profits. On-chain data suggests a limited inclination to sell, even with Bitcoin priced close to record levels.
Indicators like the adjusted Spent Output Profit Ratio (aSOPR) also demonstrate this restraint, hovering just above breakeven, indicating that the coins being spent are recent acquisitions—implying tactical trades over widespread distribution.
Additionally, Glassnode reports a continued decline in the Liveliness metric, suggesting that older coins are remaining inactive.
This patience combines with ongoing institutional interest, as detailed in QCP’s daily market update.
Market data show that $2.2 billion flowed into BTC spot ETFs last week, with QCP describing the market mood as “constructive” and noting that firms like Strategy and Metaplanet continue to accumulate.
These steady inflows are subtly altering the market structure. Bitcoin’s realized cap has risen to $955 billion, which likely indicates that real capital—not mere speculation—is entering the asset.
However, not everything is tranquil beneath the surface. QCP has observed a rise in leveraged long positions, with funding rates turning positive across major perpetual futures markets.
Glassnode cautions that “the market may need to shift—either up or down—to unlock additional supply,” implying that the current balance between long-term conviction and short-term leverage may not last indefinitely.
With Bitcoin showing minimal movement following the Senate’s approval of significant legislation, the market resembles a standoff, caught between long-term holders unwilling to sell and short-term traders engaging in leverage.
This tenuous balance leaves market observers questioning where the next catalyst might come from and whether it could trigger an explosive move for Bitcoin.
Figma Holds $70M in BTC ETFs: Filing
Design software firm Figma has revealed a $70 million holding in the Bitwise Bitcoin ETF as part of its IPO filing.
The filing indicates that the board approved a $55 million BTC investment in March 2024, which has since appreciated by 27%.
A separate resolution in May approved a $30 million USDC purchase intended for future conversion to BTC, increasing the total planned allocation to $100 million.
Recently, Hong Kong-based food conglomerate DDC Enterprise announced a $528 million capital raise this week, targeting the purchase of 5,000 BTC over three years.
DeFi Development Corp. to Raise $100M in Convertible Notes, Eyes More SOL Accumulation
DeFi Development Corp., the first publicly traded U.S. company with a treasury strategy centered around Solana, has announced its intention to raise $100 million through a private offering of convertible senior notes due 2030.
The offering, conducted under Rule 144A for qualified institutional buyers, includes an option for initial purchasers to acquire an additional $25 million in notes within 13 days of issuance.
Market Movements:
BTC: Bitcoin is maintaining around $106K, with Glassnode’s on-chain data indicating long-term holders remain largely passive.
ETH: Ethereum faced significant selling pressure after failing to break resistance at $2,522, concluding a volatile 24-hour period characterized by a 4.5% trading range.
Gold: Gold saw an increase of over 1% Tuesday, driven by a weaker dollar and global trade uncertainties, with spot prices reaching $3,357.85 and futures advancing to $3,353.80.
S&P 500: U.S. stocks were mixed Tuesday as investors shifted away from tech, with the S&P 500 declining 0.11% to finish at 6,198.01.
Elsewhere in Crypto:
- Binance to Retain Hundreds of Staff in Singapore Despite Crackdown
- NY Attorney General Letitia James Warns Stablecoin Bills Pose Risks to Americans, Calls for Stronger Oversight
- High on DOGE? Cannabis Company Implements Dogecoin Treasury Strategy
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