U.Today - Jan3 CEO and early Bitcoin adopter has taken to Twitter/X to get his important message about what is happening to BTC at the moment across to the crypto community.
In a recent X post, Mow opined that the reasons for Bitcoin going up and people accumulating heavily is happening under different circumstances than last time, and he advises the Bitcoin community to pay attention to what is happening now.
"The run up is different from last time. Pay attention"
several X posts to share his message to the Bitcoin community. In one of them he stated that the current Bitcoin bull run is quite different from the previous one. In particular, the Jan3 chief executive shared that the previous bull run was powered by a lot of quantitative easing money getting injected into the economy.Unlike then, now a lot of quantitative tightening is taking place, and the U.S. Federal Reserve keeps raising interest rates. However, investors are buying Bitcoin in large amounts despite that circumstance. “Pay attention,” Mow warns Bitcoin holders.
Mow also warned: “We're about to see what happens when demand shock meets supply shock,” referring to Bitcoin again here. In theory, a demand shock meeting a supply shock should propel an asset’s price up.
Aside from that, over the past few years, a large portion of Bitcoin held in self-custody has not been sold. According to VC investor and finance podcaster Anthony Pompliano, over the past year, around 70% of the circulating Bitcoin supply has been held in cold wallets and not traded by long-term investors.
He added that BTC's market capitalization value has surpassed $800 billion – that is more than the market value of Berkshire Hathaway (NYSE:BRKa), created and run by the , who is known as the “Oracle (NYSE:ORCL) of Omaha” and a vocal Bitcoin critic. Currently, Buffett is the fifth wealthiest man in the world.
Bitcoin ETF (TSX:EBIT) issuers quickly updating filings
The above-mentioned Anthony “Pomp” Pompliano has pointed out in an X post that there may be an important reason behind the multiple U.S. Wall Street hedge funds that have filed to get permission to launch a Bitcoin spot ETF from the SEC regulatory agency.Pompliano believes that they likely expect to have their filings approved at more or less the same time. Therefore, they are preparing now for that, and each of them is updating their application. These hedge funds include BlackRock (NYSE:BLK), Fidelity and Ark Investment. Once they receive approval, Pompliano continues, these funds will start competing for billions in AUM (assets under management) and this will “kick off one of the most insane marketing blitzes in financial markets history.”
Since Sunday, the flagship cryptocurrency Bitcoin has added 6.27% to its price and at the time of this writing is changing hands at $42,000 on the Bitstamp exchange.