The year 2024 will go down in the history books of the cryptocurrency industry and, especially, bitcoin. After starting the year with the approval of spot exchange-traded funds (ETFs), it wasn't long before the leading cryptocurrency hit a new all-time high thanks to new institutional capital.
This has pretty much been the story of bitcoin over the past 12 months, as the market leader has enjoyed the most attention from institutional players and large corporations. Blockchain analysis firm CryptoQuant recently published a report to highlight the impact of large investors on the world's largest cryptocurrency this year.
Is 2024 the best year in terms of institutional bitcoin adoption?
In its latest weekly report, blockchain intelligence platform CryptoQuant <a target="_blank" href="https://cryptoquant.com/community/dashboard/6750b56a494b0e68b4806dd1?utm_source=twitter&utm_medium=sns&utm_campaign=dashboard&utm_content=crypto-weekly-report” target=”_blank” rel=”noopener nofollow”>discussed how 2024 was a watershed year for institutional bitcoin adoption, driven by the launch of spot ETFs in January. As of the end of the year, btc funds already own more coins (over 1.1 million) than any entity (including anonymous bitcoin creator Satoshi Nakamoto).
ETFs have provided an avenue for institutional and retail investors to gain exposure to bitcoin without owning it directly. At the same time, spot exchange-traded funds have helped spread a steady influx of capital into the flagship cryptocurrency over the past 11 months.
According to data from CryptoQuant, btc has witnessed an impressive increase in its realized capitalization, rising from $430 billion to a record $730 billion so far in 2024. One of the main contributors to this level of growth is MicroStrategy, the largest corporate holder. of bitcoin so far this year.
<img data-recalc-dims="1" decoding="async" class="aligncenter wp-image-349810 size-large" src="https://technicalterrence.com/wp-content/uploads/2024/12/Bitcoin-ETFs-Overtake-Satoshi-Holdings-Blockchain-Firm-Breaks-Institutional-Adoption.png" alt="bitcoin” width=”980″ height=”426″ srcset=”https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=1752 1752w, https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=640 640w, https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=768 768w, https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=980 980w, https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=1536 1536w, https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=750 750w, https://bitcoinist.com/wp-content/uploads/2024/12/Screen-Shot-2024-12-07-at-02.40.23.png?w=1140 1140w” sizes=”(max-width: 980px) 100vw, 980px”/>
Source: CryptoQuant
Data from CryptoQuant reveals that MicroStrategy strived to strengthen its position as the largest corporate holder of btc by consistently filling its exchanges throughout the year. The business intelligence company started the year with a holding of 189,000 btc, which has now expanded 112% to 402,000 coins.
Additionally, on-chain data shows that large bitcoin investors have increased their holdings by a net 275,000 coins so far in 2024, reaching a record 16.4 million btc. These figures highlight the growing institutional demand and growing influence of cryptocurrencies and bitcoin in traditional finance, especially in the past year.
bitcoin Price Overview
As a result of growing institutional adoption, the price of btc has seen exponential growth in 2024, recently reaching a six-figure valuation. At the time of writing, the leading cryptocurrency is valued at just over $100,000, reflecting an increase of almost 5% in the last 24 hours. According to data from CoinGecko, btc remains the largest cryptocurrency in the digital asset sector, with a market capitalization of approximately $1.99 trillion.
The price of btc on the daily timeframe | Source: BTCUSDT on the x/bAZHzYlE/" target="_blank" rel="noopener nofollow">TradingView
Featured image from Shutterstock, chart from TradingView
