BTC Price Continues To Rise, Monthly Capital Inflow Hits $80 Billion

As BTC price kept rising, its capital inflows saw unparalleled levels, with $80 Billion per month entering the Bitcoin market.

Meanwhile, the rising realized cap, more transactions from long-term holders (LTHs), and wider Pi Cycle Top gap illustrated the space’s potential to continue momentum.

Bitcoin Sees Unprecedented Capital Growth with $80 Billion Monthly Surge

Bitcoin’s market capital kept on sprucing up in a staggering shape, getting almost $80 billion in new capital consistently.

Close to 50 % of the capital introduced to the market over the past 15 years went in just this year, implying a historic turn of the Bitcoin establishment’s wheel.

Ki Young Ju said understanding Bitcoin’s explosive growth was something that should be considered when looking at its role in global finance.

If you don’t ‘get’ this, you may not fully ‘get’ the chance it represents, said Ju. The message plays to the changing importance of Bitcoin in the world of money.

The realized cap experienced a dramatic spike, which was in line with the broader mainstream adoption and growing investor confidence.

Market participants hold the view that Bitcoin’s long-term viability is unshaken, as Bitcoin solidified itself as a store of value.

Rising BTC Price Drives Long-Term Holders to Transact and Increase Production Costs

Increasing market activity was caused by rising Bitcoin price as long-term holders (LTH) transact.

When Bitcoin’s value increased, these holders were incentivized to redistribute the coin, shifting Bitcoin’s realized capitalization.

The crossover between this Bitcoin network transaction activity and the market price highlighted how capital movements follow the market price of Bitcoin.

As the BTC price goes up, so does production, assuming the chain remains decentralized, which meant that if the value of Bitcoin rose, so did production and maintenance costs.

The more valuable Bitcoin became, the more costly it is to mine, thus driving up maintenance costs for the network.

The dynamic was expected to remain, which could further apply pressure to the Bitcoin market.

As the market evolves in this way, long-term holder transactions and increases in production costs are rewriting Bitcoin’s economic landscape.

Bitcoin’s Pi Cycle Top Indicator Suggests Continued Growth Potential

Again, the crypto space seemed to be popular because Bitcoin’s Pi Cycle Top indicator, showed a record gap between its moving averages, leaving more room to grow.

According to CryptoCon’s analysis of the Pi Cycle Top’s historical performance, Bitcoin’s growth isn’t topped out.

With the gap firmly in Bitcoin’s favor, the price could have further to rise, which remains bullish. This takes a fairly positive short term future for Bitcoin, with plenty of room to grow.

With the 350 DMA (2) on the stronger uptrend, where the 111 DMA was at 1.1K, which was 74% higher than the 350 DMA (2), the price had much room upside.

A big gap like this hadn’t been observed since Bitcoin’s ATHs, suggesting that Bitcoin is by no means finished with the bull run as yet.

BTC post-ATH price trajectory was became clearer as this gap between the two moving averages widens.

Other cycles had historically showed smaller gaps, but one was as high as 46%. Given the gap, Bitcoin’s market will likely keep rising up for a long time until the next price top.