Bitcoin Enters “Institutional FOMO” Phase

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Last Updated on 15 November 2020 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / jeroen@cryptotips.eu
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Charting company Whalemap has come up with a new term which according to us perfectly encapsulates Bitcoin in 2020. After a phase of panic (March), rebound (April), halving (May) and acceptance (June until now), they have deemed it “institutional FOMO”.

Their latest graphic shows the moment whenever a Bitcoin wallet holding more than 10,000 coins, aka a whale, has bought Bitcoins in order to HODL them.

Whalemap explained:

These are the levels and this is what institutional fomo looks like.

Given that 2020 has come with both the attention of Wall Street companies and people (Paul Tudor Jones and Fidelity) as well as headlines by Silicon Valley greats (Jack Dorsey of Twitter and Square as well as PayPal come to mind), it is indeed so that the volatility that normally comes with Bitcoin has been lost as of late.

Advertentie.

Is 2020 what 2018 should have been?

Many have since long awaited both Wall Street and Silicon Valley to accept Bitcoin as normal, and crypto analysts expected institutional investment would normally flood into the market in 2018, taking Bitcoin far beyond its all-time high of $20,000. This hope never materialized and those who of us who got in at the height of the 2017 ICO run will never forget. However, thanks to the maturation of the asset and the widespread acceptance, it looks like “old money” is finally flowing in.

15k Bitcoin buy

Another example of that Wall Street money flowing in came with an announcement by Grayscale this week. The company, which manages the Grayscale Bitcoin Trust (GBTC), announced it has just bought another 15,114 Bitcoin for a value of $241 million. They know own a whopping 500k Bitcoins.

At the time of writing, the Bitcoin price is wrestling with the $16k level, eager to hold on.