Bitcoin News: Retail Investors Drive $2.71 Billion Accumulation as Bitcoin Nears $110,000 Milestone

Bitcoin's price surge has captured the attention of retail investors, who have collectively accumulated $2.71 billion worth of the cryptocurrency. With the $110,000 milestone within reach, market participants are closely monitoring Bitcoin's price action. This upward trend is fueled by sustained market conditions and renewed institutional interest, positioning Bitcoin for potentially historic gains. Recent weeks have seen a notable shift in market sentiment, as indicated by the Coin Days Destroyed (CDD) metric, which spiked in late 2024, signaling increased activity among long-term holders.

Retail Investors Pile Into Bitcoin, Accumulating $2.71 Billion as Prices Soar

With the $110,000 milestone in sight, Bitcoin’s recent price action is being closely monitored by investors. A combination of sustained market conditions and renewed institutional interest has positioned the crypto king for potentially historic gains. Market sentiment has shown a significant shift in recent weeks, particularly through the lens of Coin Days Destroyed (CDD). Late 2024 saw a period of elevated CDD, signaling heavy activity among Bitcoin long-term holders (LTHs) cashing out during the rally. However, January has brought a notable cooldown in CDD, indicating reduced selling pressure from these key investors. This trend suggests that most profit-taking among LTHs is complete, paving the way for a more stable price trajectory. Low CDD is often interpreted as a positive sign for the market.

Bitcoin Could Be Worth Over $200,000 As ‘Portfolio Insurance’ Against Sovereign Default: Report

According to a recent report by crypto asset manager Bitwise, Bitcoin (BTC) is well-positioned to function as 'portfolio insurance' against sovereign default risks. The report comes at a time when global debt-to-GDP levels are breaching new highs, sparking concerns about a potential global debt crisis. The report highlights Bitcoin as an 'interesting alternative' for investors seeking to preserve their wealth during scenarios such as sovereign defaults or hyperinflation. In a theoretical model, Bitcoin can serve as 'portfolio insurance' against the default of a basket of major sovereign bonds with a current 'fair value' of around $219,000 based on this model. To provide context, global public debt levels are steadily increasing.

Bitcoin Price Forecast: Holds $105K Mark as MicroStrategy Adds 11,000 BTC, Trump Pardons Silk Road Creator Ulbricht

Bitcoin price trades around $105,000 on Wednesday after rebounding from the $100K support level the previous day. Michael Saylor’s MicroStrategy announced on Tuesday that it has acquired 11,000 BTC worth $1.1 billion, and President Donald Trump pardoned Silk Road creator Ross Ulbricht. A K33 report highlights that the market awaits crypto-specific executive orders in the coming week.

Cryptocurrency Market Recovery and Sentiment Analysis

The cryptocurrency market experienced a 3.5% increase in the last 24 hours, reaching a total market capitalization of $3.63 trillion. This recovery highlights the ongoing interest in risk assets. While altcoins have seen a rise, they remain significantly below their recent peaks, with Bitcoin nearing its all-time highs. The Cryptocurrency Market Sentiment Index has risen to 84, indicating extreme greed, the highest level in five weeks. This level of sentiment previously led to a sell-off in mid-December. Bitcoin traded near $105K, with buying activity observed when prices dipped to $101K, but selling pressure emerged as it approached $107K. The market shows optimism, but new momentum requires additional catalysts.

Bitcoin Hashrate Surge Cools Off Despite Notable Uptick In Miner Revenue

On-chain data indicates that the Bitcoin hashrate has recently paused its upward trend, even though miner revenue remains at a significant level. According to a post by CryptoQuant author Axel Adler Jr on X, the Total Miner Revenue for Bitcoin has seen a recent rise. This metric measures the total income generated by miners through their activities on the Bitcoin network. Miners earn revenue through two primary means: block subsidy and transaction fees. The block subsidy refers to the fixed rewards in BTC that miners receive for solving blocks on the network, while transaction fees are variable and depend on network activity.

Top 3 Cryptocurrencies Predicted To Hit All-Time Highs Soon

The cryptocurrency market is showing signs of recovery, with Bitcoin (BTC) reclaiming the $105,000 price point and the global crypto market cap increasing by 1.7% to $3.76 trillion in the last 24 hours. This resurgence suggests that several cryptocurrencies could soon reach new all-time highs. The market's upward trend may be influenced by Donald Trump's inauguration as the 47th President of the United States, given his strong support for the crypto industry and potential for lenient regulations under his administration. Additionally, favorable CPI data in the US has led to expectations of an early interest rate cut in 2025, further boosting market optimism.