According to a recent report, the illiquid supply of BTC surpasses highly liquid Bitcoin supply 3.2x this week
Data provider Glassnode reported that the illiquid Bitcoin supply is now 3.2 times larger than the highly liquid one.
In the meantime, Bitcoin has dipped below $39,000 on the news of the approaching Fed rate hike.
The supply of BTC held in cold wallets is increasing
According to Glassnode’s recent tweet, this week Bitcoin’s illiquid supply shock ratio saw a significant increase, reaching a high of around 2 on the shared chart.
As the data aggregator explains, the illiquid supply of the flagship cryptocurrency shows how much BTC is stored in wallets whose owners have been spending little or none of their BTC.
Currently, the illiquid supply of Bitcoin is 3.2 times greater than the liquid and highly liquid supply combined.
Therefore, the amount of BTC that wallet owners are hodling tight in their cold wallets has surpassed the liquid supply of the leading crypto.
Institutions continue to enter BTC
Another data company, IntoTheBlock, tweeted that the majority of Bitcoin transactions right now — over 99% — are moving at least $100,000 worth of BTC.
Since Quarter 3, 2020, financial institutions have accelerated entering Bitcoin, and the market structure began to change fast.
Elon Musk keeps his crypto
In a tweet posted earlier today, centibillionaire Tesla and SpaceX chief Elon Musk said that as inflation rises, he doesn’t plan to sell any of his Bitcoin, Ethereum and Dogecoin stashes.
This caused a brief spike in the prices of these digital currencies.
