The Bitcoin (BTC) market is in an active phase of accumulation, as large investors have arranged a real "hunt" for the largest by capitalization cryptocurrency.
A popular crypto analyst nicknamed Ali on his page in X (Twitter) drew attention to the fact that in the last week alone, whales and sharks have added more than 100,000 BTC worth $7 billion to their wallets.
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These investments underscore major investors' confidence in Bitcoin and suggest an optimistic view of its future, Coin Edition reported.
The CEO of data analytics platform CryptoQuant, Ki Yong Ju, believes that the increased demand for BTC is also due to institutional funds entering the market.
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At the same time, analytics platform Santiment emphasized that the accumulation of BTC is due to the approaching halving, which is expected on April 20.
It is worth noting that these BTC accumulations have a positive impact on the market capitalization of the entire cryptocurrency. At the same time, historical data shows that such massive accumulations have often led to significant changes in market prices.
Although the upcoming halving and high demand suggest an upward trend for BTC, Santiment analysts warn of a possible significant pullback in Bitcoin before the halving. The analysts attribute this price forecast to Bitcoin's historical trends in 2016 and 2020.
In addition, experts note the high demand for spot Bitcoin ETFs. According to BitMEX Research, BlackRock's iShares Bitcoin Trust (IBIT) currently holds $17.1 billion worth of Bitcoins. Inflows into the ARK 21Shares Bitcoin ETF totaled $201.8 million on March 27, nearly four times the daily average of $43.9 million.
However, the growing demand could not support the rise in the price of Bitcoin on March 28, which fell to around $69,000 in early trading.
At the time of writing, Bitcoin has managed to recover some of its earlier losses and is trading at $70,311, down 0.02% over the past 24 hours.
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