Long-term investors increase their holdings in a context of optimism and an all-time high in the price of BTC
Bitcoin fans are celebrating. Long-term investors, known as "cruisers", increased their positions in the cryptocurrency to 5.36 million BTC after a period of fluctuations, driven by Donald Trump's recent victory and an interest rate cut by the Federal Reserve. So far in 2024, the balance of these holdings grew by 22.48%.
Long-term investors in bitcoin increase their positions amid high activity in the cryptocurrency market. / TradingView
Increase in the positions of long-term investors
The so-called "cruiser" investors, who have held bitcoin for more than five years, had recorded a six-month low of 5.08 million BTC. However, after this fall, they quickly recovered their balance, reaching a new peak of 5.36 million. This increase translates into significant growth compared to the beginning of the year, when these positions stood at 4.39 million coins.
Favorable economic context
This remarkable rebound in the positions of cruise investors arose amid a rapid rise in the price of bitcoin. Following the presidential elections in the United States, where Donald Trump emerged victorious, the cryptocurrency is experiencing a notable rise. In addition, the recent decision of the Federal Reserve to apply a new interest rate cut of 25 basis points generated a favorable environment for digital assets.
Market analysts observe that the rate cut responds to a scenario in which inflation is considered under control. Next Wednesday, operators expect the publication of inflation data for the month of October. These estimate that it will remain at 2.4%, which again poses challenges to reach the 2% target set by the Federal Reserve.
Price at historical highs
As of the date of this report, the price of bitcoin stands at $82,265.96, surpassing a previous resistance of $72,000, which is now considered a new support level. This revaluation highlights the market's confidence in the cryptocurrency, despite a stronger dollar, which reached 105.51 points on Monday.
The increase in long-term investor positions in bitcoin highlights the growing confidence in the cryptocurrency. With the number of holdings expanding and the price reaching unprecedented levels, market observers are preparing for upcoming economic developments that could continue to influence this highly dynamic market.
Disclaimer: This information should not be construed as investment advice. Cryptocurrency markets are volatile and past performance does not guarantee future results.