In accordance with market surveys and information from different sources, more than 40% of BTC is held in the wallets and not sold. Institutional BTC demand is higher than the supply at the moment.
Different financial institutions acquire BTC in big amounts frequently using this asset as long term investment. It’s worth mentioning Microstrategy huge purchase of over 14 K BTC that became a part of a new company’s investment strategy.
After a short break, Grayscale sticks to the same strategy at the moment. Though there are a lot of crypto assets in the ownership of the company, it continues to hold cryptocurrencies and buys more.
Despite the growth of the BTC price, investors do not hurry to sell the asset. It means that the available supply remains stationary and doesn’t change much for about 2 years.
A similar situation took place at the beginning of 2016. Nobody wanted to sell it then until it reached its peak of $20k. Numerous experts warn of the approaching Great Monetary Inflation, so investors try to protect the value of their capital, investing in Bitcoin.
Co-founder and CEO of Gemini Tyler Winklevoss recommended hedging against the coming fiat inflation with BTC.
The Great Monetary Inflation is nigh. Arm yourself with Bitcoin.
– Tyler Winklevoss, August 13, 2020