Corporate Buying and Key Market Signals Hint at New Highs

• Japanese firm Metaplanet added $10.4 million in Bitcoin, bringing its holdings to over 1,000 BTC.
• Market indicators, including rising open interest and MVRV ratio, signal potential for Bitcoin’s continued bullish momentum.

Following a dip in Bitcoin [BTC] price late last week, the cryptocurrency is showing signs of a rebound, with prices returning above $68,000 as the new week begins.

As of Monday morning, Bitcoin was trading at approximately $67,953, marking a 1.3% increase over the past 24 hours and peaking at $68,210 in early hours of today.

Metaplanet adds to its Bitcoin holdings 

This recovery coincides with a significant development: Japanese investment firm Metaplanet Inc has announced another large Bitcoin purchase, adding $10.4 million worth of BTC to its holdings.

This recent acquisition brings the firm’s Bitcoin reserves to over 1,000 BTC, positioning Metaplanet among the top corporate Bitcoin holders in Asia.

Metaplanet’s renewed commitment to BTC reflects a broader trend of corporations adopting cryptocurrency as a strategic treasury asset.

Following its initial announcement in May, Metaplanet has steadily accumulated BTC, growing its reserves from 141.07 BTC at the end of June to a substantial 1,018.17 BTC today. 

Source: Simon Gerovich on X

This commitment is bolstered by the firm’s capital market activities, including a recent $66 million raise through its 11th stock acquisition program.

CEO Simon Gerovich shared that Metaplanet’s aim to maintain BTC as a primary reserve aligns with its long-term outlook on digital assets. However, the firm clarified that holding shares does not provide shareholders with any direct claim to the BTC in reserve.

BTC’s growing market indicators signal possible price stability

In addition to positive momentum from corporate buying, Bitcoin’s technical indicators are pointing to increased investor interest.

Data from Coinglass reveals that Bitcoin’s open interest has grown by 4.26%, reaching $38.89 billion, with open interest volume seeing a substantial 61.13% increase, currently valued at $33.77 billion. 

Source: Coinglass

Open interest refers to the total number of outstanding derivative contracts, such as futures and options, that have not yet been settled.

An uptick in open interest can indicate higher market activity, suggesting that investors anticipate further movement in Bitcoin’s price. When open interest rises in tandem with a price increase, it may signal a buildup of bullish sentiment.

Furthermore, Bitcoin’s Market Value to Realized Value (MVRV) ratio has recently climbed to 2.06, as per CryptoQuant data. This metric compares Bitcoin’s current market value to its average realized value, providing insight into whether it is overvalued or undervalued relative to its historical performance. 

Source: CryptoQuant

Read Bitcoin’s [BTC] Price Prediction 2024–2025

An MVRV ratio above 1 generally signals that BTC is valued higher than its purchase cost, suggesting the potential for investor profit-taking.

However, a rise in the MVRV ratio, especially during a period of price stability or increase, can reflect positive sentiment in the market, as it implies investors are willing to hold onto their gains rather than sell.