After a relatively predictable FOMC, Bitcoin (BTC) ‘s pricing behavior increased Cryptocurrency to $ 106,500 on January 30. BITCOIN registers a positive brake out in the downturn, increasing the probability of other legs on the chart.
Bitcoin 1 day chart. Source: COINTELEGRAPH/TradingView
After breaking the 6 -digit price on December 8, 2024, more than $ 105,000 daily will be the third instance of BTC with more than $ 105,000.
$ 1.2 billion will be added to Bitcoin revealing interest.
After the FOMC meeting, Bitcoin’s futures market acted quickly, emphasizing the data that more than $ 1.2 billion was added over the last 24 hours. Public interest (OI) increased 8%to $ 65 billion on January 30.
Bitcoin prices, aggregate financing fees and open interest. Source: velo.data
The clear increase in aggregated funding rates was observed with the rise of OI. This suggests that most long positions have been opened and the price has been moved.
Despite the strong futures market, the past and other specific data sets are the best retail investor activities. According to GlassNode’s data, BTC retail expenditures have been reduced by 48% since November 2024.
Bitcoin spent the volume in the size of a wallet. Source: Glass Node
The expenditure peaked in November 2024, and investors spent $ 26 million per hour and peaked compared to $ 13.7 million per hour on January 30.
Meanwhile, QUINTEN Francois, an encryption commentator, also mentioned that despite Bitcoin transactions, retail interests have reached the lowest level of three years despite more than $ 100,000 transactions.
Related: Tap $ 106K to the US GDP MISS BOOSTS BITCOIN BULL CASE.
“This is different this time”
Compared to the previous market cycle, one of the reasons for the decrease in retail investments in Bitcoin is because of the concept of “unit bias.”
Unit bias is a psychological heir of behavioral economics, and individuals generally have a complete unit or stock regardless of price and size. Using Bitcoin, most investors say that $ 100,000 is “too expensive.”
Anonymous Bitcoin supporters, Sunny PO, appropriately explained the new investor’s way of thinking.
“Unit bias is a core basic framework of Normie Mind. “Better cheaper”
In 2024, XRP was noted for its low price and led to an unrealistic prediction such as “$ XRP ~ $ 1,000” or “$ XRP ~ $ 10,000”. Many people overlook the reality of market caps, but these bold arguments attract new investors, especially when compared to Bitcoin and ETH.
In 2024, Bitcoin’s rally was led mainly by the rise of institutions and SPOT BTC ETFs. While retail interest has decreased since November 2024, COINGLASS’s data shows that the total market cap of BTC ETF has increased by 78% from $ 7 billion on November 5 to $ 110 billion in January 30.
Bitcoin ETF market cap data. Source: COINGLASS
A fair assumption is that new investors can prefer exposure through BTC ETFs. As a result, retail investors can be activated, but they usually do not generate new blockchain addresses classified as retail on chain activities.
According to GlassNode, investors have moved most Bitcoin from the exchange to ETF administrator wallet and further verified the above claims by reducing the balance from 3.1 million to 2.7 million for seven months.
Related: Forcon FOMC -Bitcoin Price now has a lot of ‘space’ to reach $ 108K.
This article does not include investment advice or recommendation. All investment and trading measures include risks, and the reader must do his own research when making a decision.