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Markets to date: after a new historical peak of bitcoin the accumulation is maintained

Markets al día is an exclusive summary of the news that moves the bitcoiner economy. It is sent in advance by email to a list of subscribers and then published every Monday on CriptoNoticias. If you want to have the information in advance, subscribe to the ist here.

Bitcoin (BTC) reached this Tuesday, November 9, a new historical maximum of USD 68,641 and, nevertheless, long-term holders show very little tendency to sell, which marks an important difference with the 2017-2018 bull rally. As highlighted by CriptoNoticias, this week’s all-time high coincided with a minimum level of BTC balance on exchanges.

In addition to several factors that had driven the price to maximum values, commented on by this means on Monday 8, as the fall in the yield of bonds and world inflation, among other factors, the supply shock was added, to contribute to the new maximum of last Tuesday .

The rally of 2017 was marked by speculative movements that were reflected in an intensive period of sales, while in the current cycle the flow of BTC leaving the exchanges is maintained, despite the recent highs in price. There are currently around 2.4 million BTC on exchanges, as can be seen in the following graph.

There is 22% less BTC on exchanges than in March 2020. Source: Glassnode.

This decline in BTC available in the market suggests that holders “with strong hands”, or with little willingness to sell, have expectations that the bullish cycle is still valid.

After registering another historical high of USD 68,543, this past Thursday, the price of bitcoin entered a sharp correction phase, which was attributed to the movement of 2,207 BTC from an address that remained inactive for more than d e 8 years. This movement caused a 6% drop in the price, which was reported by this medium. Since then the price has been lateralizing with a downward trend and is, at the time of writing this article, at USD 65,990, as can be seen in the CryptoNews Price Calculator.

In coincidence with the outgoing flows of BTC from exchanges, long-term holders (LTH) continue to retain the acquired coins, as they register a low percentage of sales.

According to a Glassnode report commented by CriptoNoticias last Friday, November 12, the LTHs have sold only 7.3% of the BTC they had at a time when the price exceeded USD 66,000 , on October 20. On that date there was the highest value of BTC held by LTH, 81.5% of the bitcoin supply.

Long-term Holders maintain little tendency to sell their BTC. Source: Glassnode.

Bitcoin on the heels of silver

Bitcoin, which remains in the eighth position among the most valuable assets in the world, is more close to the market capitalization of silver, according to an analysis carried out by CriptoNoticias this Monday, November 8. With a market value of USD 1.21 trillion, the first cryptocurrency is 18% away from matching the second precious metal, which has a capitalization of USD 1.43 trillion.

To comply That goal, the price of bitcoin should exceed $ 73,000. The progress of bitcoin with respect to silver has been remarkable this year, since just in the month of February, its value was 60% of the value of silver and today it is 84.6%.

Featured Weekly Chart

The relationship between bitcoin’s market capitalization and its effective capitalization gives rise to the MVRV metric. This is defined by assigning the BTC of a bitcoin address the price that they had in their last movement. The effective capitalization is less than the conventional one because currencies that have not been moved in a long time are subtracted.

The highs of the MVRV curve coincide with the historical highs of the bitcoin price. There is a more striking detail, however, and it is when MVRV exceeds the value 3, which happened recently. Historically, when this metric has reached that value, the price of bitcoin has entered a parabolic phase of growth of variable duration , but that can be of Several months.

Grayscale’s foray into ETFs would challenge the largest exchange-traded fund in gold

As has been highlighted in this publication, there are important differences between ETFs backed by bitcoin, such as those approved in Canada at the beginning of the year, and those launched in October in the United States, which are based on bitcoin futures contracts.

The investment company Grayscale, manager of the largest bitcoin fund, awaits approval of the SEC to convert this investment vehicle into an ETF, along with other cryptocurrency investment funds totaling more than $ 60 billion. The total assets under management of these Grayscale funds currently rival the largest gold ETF, the SPDR Gold Shares, with assets under management of USD 58 billion, according to an analysis carried out here.

$ 8.9 billion invested in bitcoin funds in 2021

So far this year almost USD 9,000 million have been invested in various bitcoin funds and other cryptocurrencies, according to a study by CoinShares, commented by CriptoNoticias this Wednesday, November 10. With what has been invested so far, has already exceeded by 39% all institutional investment in cryptocurrency funds made in 2020. If the same rate of growth is maintained investment towards cryptocurrencies, the total flow of 2021 would be about USD 10,600, which would exceed the previous year by more than 66%.

How will bitcoin trade at the end of the year? PlanB sees a 60% boom


Among the various bitcoin price prediction models the so-called

Stock To Flow (S2F) or reserves to flow causes controversy among followers and those who emphatically reject it on Twitter and other social networks.

The model, launched by the enigmatic analyst PlanB predicts that bitcoin will surpass $ 90,000 by the end of the year. So far, the evolution of the price of bitcoin has followed the staggered pattern of this analyst quite tightly, as seen in the graph. The outlook looks auspicious, as the emblematic mark of USD 100,000 would be exceeded in the vicinity of the new year.

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Sandra Loyd
Sandra is the Reporter working for World Weekly News. She loves to learn about the latest news from all around the world and share it with our readers.

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