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⚡Bitcoin's Millionaire Whale Club Grows at a Steady Pace🚤

Croxroad

12 Mar 2024 — 4 min read

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🐂 Bitcoin Millionaire Whales Multiply

The current Bitcoin bull run has seen a paradigm shift as Wall Street increasingly embraces spot exchange-traded funds (ETFs). Despite Bitcoin's impressive 70% surge this year, creating new record highs above $72,000, the emergence of millionaires is occurring at a slower pace compared to the 2020-2021 uptrend. According to data from Paris-based Kaiko, less than 2,000 millionaires, with wallets holding $1 million worth of Bitcoin, are now being created daily. This contrasts sharply with the previous bull run, where over 4,000 millionaire wallets were generated daily, including 2,000 wallets with a balance exceeding $10 million.

The deceleration in the formation of Bitcoin millionaires prompts speculation about the current stage of the bull run. Analysts suggest that this slower growth may indicate an early phase, with the full impact of capital inflows yet to materialize. Market consensus aligns with this view, anticipating potential price surges to $150,000 and beyond in the coming months, fueled by sustained ETF inflows and an impending halving-induced supply reduction. Kaiko's insights, shared in their weekly newsletter, propose several factors contributing to the slower growth rate, including delayed new capital influx, profit-taking by large whales at peak prices, and a shift towards storing holdings with custodians rather than personal wallets. Additionally, a widening gap in liquidity between ask and bid orders suggests a buildup of sell-side orders, reflecting investor interest in capitalising on profits as Bitcoin achieves new record highs.

🤙 Silver Shaded by Bitcoin Brilliance

Bitcoin's ascent in the realm of market capitalization reaches new heights as it surpasses silver, securing its position as the world's eighth most valuable asset. With a 4% surge, Bitcoin reached an unprecedented all-time high, surpassing $72,000 and elevating its total valuation to $1.42 trillion, outstripping silver at $1.387 trillion, as reported by CompaniesMarketCap. This achievement follows Bitcoin's previous overtaking of Meta's market cap (formerly Facebook) at $1.2 trillion earlier in the historic bull run.

In the sights of Bitcoin's continued climb is Google's parent company, Alphabet, currently the seventh most valuable global asset with a valuation just shy of $1.7 trillion. Some Bitcoin enthusiasts are setting their sights even higher, aiming for the title of the world's most valuable property currently held by gold, boasting a market cap of $14.7 trillion. Achieving this ambitious goal would require Bitcoin to increase more than tenfold, reaching beyond $720,000 per token.

Matteo Greco, a research analyst at Fineqia Capital, attributes Bitcoin's robust price action to the positive momentum generated by BTC Spot ETFs. This sentiment is further underscored by the London Stock Exchange's recent decision to accept applications for bitcoin and ether exchange-traded notes (ETNs), highlighting the growing acceptance and integration of cryptocurrencies in traditional financial markets.

🔞 OneCoin

Cryptocurrency has witnessed various unfortunate incidents leading to financial losses, and among them, crypto scams have been particularly notorious. One of the most significant scams in crypto history is OneCoin. Launched in 2014 by Dr. Ruja Ignatova and her husband, Daniel Dabek, OneCoin was presented as a legitimate cryptocurrency. However, it turned out to be a massive Ponzi scheme orchestrated by companies such as OneCoin Ltd in Bulgaria and OneLife Network Ltd in Belize.

Under the guise of offering educational packets for financial education, OneCoin allowed purchasers to mine the cryptocurrency. These educational packets ranged in cost from $100 to $100,000, with varying levels of membership providing buyers with access to increased amounts of the token. In 2017, authorities intervened, shutting down the scam and apprehending its leaders. Unfortunately, Dr. Ruja Ignatova, the founder, disappeared, and her current status—whether she is alive or not—remains unknown. The scam ultimately absconded with a staggering $25 billion, marking it as one of the most significant crypto scams in history.