The recent run up has people wondering if the Bitcoin bulls will give it up. After all, at some point the Bitcoin bears will step in.

That might be true but it will not be anytime soon. The bulls are going to remain in control for a while longer according to a few indications.

Number of 1K Bitcoin Wallets

While many look at the whales, the 1,000 Bitcoin wallets are a better indication. The reason for this is that it is what encompasses many miners. Usually, they sell their coins to pay for their expenses. If they are accumulating, it means they are bullish about the future price of Bitcoin, at least in the near term.

While exchange volumes have been below $500M since 20 November 2020, addresses holding 1k+ coins hit an ATH of 2257 just recently, a development that gives a clearer picture of accumulation on the charts.

Total wallets holding Bitcoin (BTC) is not a indication of overall growth and momentum. After all, many of those wallets have nothing more than dust in it. The wallets with tens of millions of dollars in Bitcoin tell a much better story.

Institutions Are Buying

Coinbase had $6 billion dollars under custody in April of this year. That number is now $20 billion. There was more than a tripling of the total under custody in a little more than 6 months.

The fact that Wall Street mainstays such as Paul Tudor Jones opened up about how they were investing in Bitcoin added legitimacy as an asset class.

Coinbase’s Head of Institutional Coverage, Brett Tejpaul has this to say:

Tejpaul further shared what a typical day for him is like on the podcast. “By 9:30 in the morning, I had five separate institutional clients called to invest over $100 million each.” He explained that people sitting on the sideline “are now looking at major banks, major accounting firms, major hedge funds, major endowments, and now Paypal getting into this space,” concluding:

"It’s really unleashed a second wave of institutional adoption."

Source

On a typical day, he has calls about investing half a billion dollars by the open of the stock market? It doesn't take too long for that to add up into some enormous sums of money.

Visa Looking Long-Term

Visa is starting to put together a long-term plan for cryptocurrency. It is unclear how much is centered around Bitcoin in particular. However, having another major payment player in the game is surely going to add to the overall thrust.

CBDCs are the primary focus for Visa since they already a large portion of the transactions in the fiat world. This is align naturally for the payment processor will further expand its digital platform.

If decentralized cryptocurrencies are still growing, when CBDCs roll out, entities are going to have to link the two worlds together. It only makes sense that a company like Visa step up to the plate.

In an interview with CNBC, Alfred Kelly, CEO of financial services goliath Visa, said this:

“We’re facilitating putting a Visa credential into their system where you can convert your crypto based on a fiat currency and put the funds in a wallet where you can use them at anywhere Visa is accepted. It’s a way of making those funds valuable and usable across our network.”

Source

The momentum is in the bulls favor. Bitcoin is eating up the lion's share of all this money rushing into the crypto space. This means the bears are going to have a tough time wrestling control.

Momentum plus serious amounts of money make it an easy case for the Bitcoin bulls.

As always, watch the flow of capital to determine what is taking place. For now, plenty of capital is moving into Bitcoin.

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