Bitcoin’s price has reached new heights, exceeding $73,000 on March 13. This surge has resulted in approximately 1,500 individuals becoming “millionaires” each day, according to data from Kaiko Research.
The price of Bitcoin rose from $71,473 to achieve a new all-time high of $73,709 on Coinbase, as shown by data from Cointelegraph Markets Pro and TradingView. This impressive performance is accompanied by a steady influx of institutional capital into the Bitcoin market, driven by the recent approval of spot Bitcoin exchange-traded funds (ETFs).
HODL15Capital, an independent investor, highlighted the increasing inflow of funds into spot Bitcoin ETFs. In a post on the X social network, the investor shared a chart revealing that on March 12, daily inflows into spot Bitcoin ETFs reached a record-breaking $1 billion in net inflows. The investor urged others not to sell their Bitcoin to ETFs.
As a result of these inflows, spot Bitcoin ETFs now account for nearly 90% of the daily trading volume market share for ETFs offering exposure to Bitcoin. This indicates that investors prefer direct exposure to Bitcoin through ETFs rather than Bitcoin futures contracts-based products.
Kaiko Research’s report states that the recent rally in Bitcoin, supported by U.S. spot Bitcoin ETFs, is generating around 1,500 new millionaire wallets per day. This demonstrates the increasing wealth accumulation within the cryptocurrency sector. The total number of wallets holding $1 million and $10 million worth of Bitcoin created daily is currently less than 2,000. This is a considerable decrease compared to the 2021 bull run, where over 4,000 wallets reached the million-dollar mark daily, and over 2,000 wallets reached $10 million.
The slower pace of millionaire growth is attributed to a lack of new capital, profit-taking by whales as Bitcoin reaches new all-time highs, and whales storing their holdings with custodians instead of personal wallets. Nevertheless, the overall number of Bitcoin addresses holding significant wealth is steadily increasing, showcasing the growing adoption and acceptance of Bitcoin as a store of value and investment asset.
Various analysts have differing forecasts for the price of Bitcoin in the coming years. Standard Chartered predicts that Bitcoin’s price could surpass $100,000 by the end of 2024. Hedge fund SkyBridge forecasts a price of $170,000 by April 2025, while Fundstrat projects a range of $116,000 to $137,000 by the end of this year. Investment management firm VanEck maintains its medium-term target at $350,000. Independent analyst Ted Talks Macro believes that funds are flowing into the Bitcoin market like never before and anticipates a rise to $100,000.
As Bitcoin continues its upward trend, market participants anticipate that the upcoming supply halving scheduled for April 2024 will further propel the price. It is important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any decisions.