Despite recent BTC volatility, institutions are still buying Bitcoin. This is supported by data from Glassnode.
Bitcoin’s price has been on a rollercoaster ride this week. However, according to blockchain data, institutions are still buying Bitcoin, despite short-term market volatility and bearish sentiment.
Data from blockchain data site Glassnode shows that the number of addresses with 1,000 or more bitcoins (often called „whales“) continued to rise this week while the price of bitcoin fell.
Plummeting below USD 30,000 on Thursday. The count of such addresses declined in late December and has soared again since early 2021.
Now, despite the recent drop, data from Glassnode does indeed suggest that institutions are still buying Bitcoin despite the recent volatility not only for the market’s main cryptocurrency, but also for cryptos in general.
Bitcoin price drifts from $40,000, what happens next?
Harvard’s Kenneth Rogoff calls BTC a „hedge against dystopia“.
Often touted as a store of value or a hedging asset, BTC has gained significant widespread adoption in recent months. However, Kenneth Rogoff, professor of public policy and economics at Harvard University, doubts the asset’s success.„I can see BTC being used in failed states.“ Rogoff said in an interview with Bloomberg on Thursday, adding:
„It’s conceivable, you know, it could have some utility in a dystopian future, but I think governments are not going to allow large-scale pseudonymous transactions. They’re just not going to allow them. The regulation will go into effect. The government will win. It doesn’t matter what the technology is.
Bitcoin has withstood its fair share of criticism over its 12-year history.
Gold advocate Peter Schiff often comments against the technology. Investor Warren Buffett once referred to the asset as „probably rat poison squared“.
And, financial commentator Dennis Gartman expressed scepticism towards Bitcoin in late 2020, just to name a few examples.
Samsung discusses USD 10 billion chip manufacturing facility in Texas
Samsung is considering funding a chip manufacturing plant based in Austin, Texas. With „more than USD 10 billion“. According to a Bloomberg report.
Sources told Bloomberg that the tech company plans for its facility to be able to manufacture three-nanometre chips in the future.
The exact amount of spending could fluctuate, but Samsung is vying to bring back some of the chip manufacturing market share currently controlled by Asian markets to the US.
In the future, this could have positive effects for the supply chain tensions suffered by bitcoin mining machine manufacturers. They routinely struggle to obtain a constant and sufficient quantity of chips from foundries.
Coinbase now has more than USD 90 billion in assets on the platform.
Coinbase experienced huge growth in 2020 as bitcoin rallied to close out the year.
New numbers posted on Coinbase’s website on Friday show that the exchange now has more than USD 90 billion in assets on the platform. And more than 43 million registered users.
The updated figures were compiled as part of Coinbase’s 2020 year in review and are current as of December 31, 2020.
„In this report, we take you on a comprehensive tour of the crypto asset class, sharing our unique perspective on how and why these institutions are engaging with the market.“ Wrote Brian Foster of Coinbase Institutional in the report’s cover letter.
Coinbase’s surge in assets is likely to be driven by firms such as MicroStrategy, Ruffer Investment and other institutions that have used the exchange’s prime brokerage service to make large purchases of bitcoins in recent months.