Bitcoin price continues to stabilise as institutional buying surpasses AUD$2.7B for October
In the face of reduced volatility, Bitcoin's monthly gains have dipped a little, currently hovering around the 30% mark.
- The total market capitalisation of the crypto industry currently stands at AUD$3.67 trillion.
- BTCs dominance has dipped from 44% to around 41% over the last month or so.
- Rising institutional interest in relation to Bitcoin can, in large part, be attributed to the release of 2 BTC ETFs recently.
After having scaled up to an all-time high of AUD$90,000 nearly a fortnight ago, Bitcoin, the world's largest cryptocurrency by total market capitalisation, proceeded to witness a small correction in its value, dropping to around the AUD$81,500 range. At press time, BTC is trading at a price point of $82,150.
In terms of what may be driving Bitcoin's increased price stability, it should be pointed out that institutional inflows related to Bitcoin for the month of October totaled US$269 million. In addition, demand for the flagship crypto among major market players has also continued to increase, with institutional buying exceeding the US$2 billion mark over the above-stated time window.
The increased buying can be directly linked to the approval of 2 Bitcoin-based ETFs by the United States Securities and Exchange Commission (SEC) last month. For example, ProShares' BTC ETF, which made its debut on Oct 19, was able to accrue AUD$1.34 billion in assets under management (AUM) within just the first 48 hours of its debut. A similar scenario was also witnessed when Valkyrie's ETF made its official market foray around 10 back. Lastly, it should be noted that as per CoinShares, Bitcoin's year-to-date inflows now stand at AUD$8.5 billion (US$6.4 billion).
NFL megastar to start accepting salary in BTC
NFL superstar and starting quarterback for the Green Bay Packers Aaron Rodgers recently took to Twitter to reveal that he is all set to partner with Cash App as a means of accepting a part of his annual remuneration in BTC. Further elaborating on the matter, it should be pointed out that for the current fiscal year Rodgers will be earning a base salary of US$1.1 million alongside signing and roster bonuses of US$14.5 million and $6.8 million respectively.
That said, it is still not clear as to how much of his annual US$22.3 million package Rodgers will choose to accept in Bitcoin. At press time, Rodgers' total salary works out to nearly 370 BTC.
Last but not least, it should be noted that there seems to be a growing trend of mainstream sporting superstars backing cryptocurrencies in recent months. For example, Carolina Panthers' Russell Okung announced last year that he will be accepting part of his annual salary in Bitcoin. Just last week legendary quarterback Tom Brady stated that he will be compensating the fan who held his 600th career touchdown football with 1 BTC.
According to a popular metric — referred to as "whale shock supply" — Bitcoin's largest investors seem to be maximising their reserves in recent months, suggesting that another price run could be on the cards for the digital asset over the coming few days or weeks. In this regard, some experts believe that as accumulation continues to mount, it would not be surprising to see Bitcoin scale up to the US$67k range and find solid support there.
Disclosure: The author owns a range of cryptocurrencies at the time of writing