I haven't seen one of these Bitcoin liquidity charts for some time so it was an eye opener to see the effects of the BTC ETF's. A drop from 350K to 320K liquid Bitcoin is a big deal and represents 10% less that is available compared to yesterday or last week or last month. The window for being able to buy Bitcoin is slowly closing and this is even with the price over $100K.
This does sound absurd because not that long ago 10 years today Bitcoin was only $230 and not many people were buying it. At $100K plus people are now interested so make that make sense. January 1st 2019 Bitcoin was only $3746 and many thought that price was high until it reached $60K and then the $3746 seemed very cheap. Will we think the $100K price today was cheap when we look back in 2030 because I think it will seem very cheap. Just think when Bitcoin hits $1 million which I am sure it will this $100K price is a 90% discount.
Price is all about supply and demand and when the supply runs low the demand grows more and more fueling the price. The FOMO this is going to create when Bitcoin is down to the last 100K on exchanges is going to kick prices into another level. Sure there will be many sellers at $200K ,but there will still be many buyers because once it is gone it is gone.
With many of us holding Altcoins I actually am looking forward to these days as the focus has to shift on to other crypto tokens. Eth ETF's have started to pick up and the hope is this will start to fuel other cryptos that stand out for what they have to offer. This will help raise the entire crypto market with institutional investors researching their investments because that is their job of how they make money and future wealth.
We are all looking what will be the next big thing and what narrative will drive the prices up. Adoption has not even happened as yet and already we have heard some large invest firms discussing Bitcoin at $2 million plus. Just today JP Morgan mentioned they will offer financial loans against crypto ETF's.
Talk about back tracking because no one will ever forget what Jamie Dimon said in 2017.
he would fire any employee who traded Bitcoin for being “stupid,” and called it a “fraud.”
Now his company is accepting crypto as collateral against loans so crypto being adopted is already happening in the real world. Crypto is going to be seriously big and we are really only still getting started and the values we see today are only going to rise. I ask myself with a Bitcoin at $1 million how much would 1 HIVE be worth as no one knows these answers? Many of us are in for a good shock as this will effect our entire portfolio.