Despite recent actions to buy the asset from institutions and companies, sales pressure from long-term holders has hindered the growth of Bitcoin prices, one analyst said.
“People want to know why Bitcoin is trapped within $100,000 despite institutional FOMO,” explain Capriole Investments founder Charles Edwards Sunday.
He added that this is mainly due to Bitcoin (BTC)OGS – Long-Term Holders – They have been “dumping on Wall Street” and “unloading positions” since spot bitcoin exchange trading funds launched in January 2024.
Edwards BTC Finance Company.
“The number of BTC acquired by this queue in the past two months has completely consumed all BTC offloaded by LTHS in the past 1.5 years.”
Bitcoin Treasury Flywheel
Edwards predicts that these Bitcoin Treasury companies will create “huge flywheel purchase crazy” and push the ETF narrative into the back seat.
“Just as many replicas come to the market, we’ve obviously entered the heat we are today,” he said.
Related: Few Bitcoin finance companies can survive in the “death spiral”: VC Report
A few new corporate investors emerged last week, including real estate giants Cardone Capital; Anthony Pompliano’s venture capital firm programplan is made public; mineral exploration company Leopard Metal; and Norwegian Deep Sea Mining Company Green Mining.
Short-term profit
In the near term, traders will make profits by the July 9 tariff deadline, as many expect the core issues to be unresolved, Jeff Mei, chief operating officer of BTSE Crypto Exchange, told Cointelegraph.
“If trade negotiations go south, they are opposing conflicts in market prices,” he said, adding that more and more publicly listed companies are adding bitcoin to their Treasury operations.
“While they have accumulated enough bitcoin will take time, we hope that the market will stabilize next year as more long-term holders enter the market.”
Meanwhile, Han Xu, director of liquid fund investment at Hashkey Capital, told Cointelegraph that investors and traders are waiting for U.S. macroeconomic data reports and policy updates to be launched soon this week.
“Updated trade deals ahead of the reciprocity tariff deadline and progress on Trump’s budget bill are key risks that need to be cleared before the bullish trend continues to recover,” he said.
Side trading continues
Since breaking the six-digit figure for the second time in early May this year, the price of Bitcoin has been largely limited. The asset oscillates between $102,000 and $110,000, with several brief spikes and declines outside the range.
Although the market is inactive, Bitcoin ETF Inflows in the U.S. have exceeded $3.2 billion in the past two weeks, with no one outflow. Meanwhile, the number of new Bitcoin Treasury companies continues to increase weekly.
BTC traded 1.2% on the day, with resistance on Monday at $108,750, the highest level in two weeks, but failed to surpass it when writing.
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