BlackRock & Metaplanet Buy Bitcoin Dips As Crypto Market Turns Sour

by

As a seasoned crypto investor with over a decade of experience in this volatile market, I’ve learned to ride the waves and not get swept away by the currents. The recent dip in Bitcoin under $60,000 has sent shivers down the spine of many investors, but it’s important to remember that every dip is an opportunity for those who can see the long-term potential.

As an analyst, I’ve observed a noticeable downturn in Bitcoin‘s price below $60,000, which seems to have stirred unease across the market. This turbulence has led to over $53 million in long liquidations within the past 24 hours. Yet, it’s worth noting that influential players such as BlackRock and Metaplanet are seizing these dips to invest, demonstrating their unwavering faith in this asset class.

BlackRock, Metaplanet Buying the Bitcoin Dips

In the past two weeks, BlackRock has significantly boosted its Bitcoin holdings by approximately $742 million, disregarding market fluctuations. Today, it is reported that BlackRock now owns a total of 12,272 Bitcoins (BTC) which they have acquired over the last fortnight.

Following a stretch of less Bitcoin buying from August 27 to September 24, during which it stayed below $60,000 for an extended period, BlackRock has restarted its Bitcoin purchases as of September 24. This move has boosted their total Bitcoin holdings beyond 369,822 BTC, equating to a value of approximately $22.4 billion. The persistent buying indicates that asset managers are increasingly optimistic about Bitcoin’s long-term worth.

BlackRock bought 12,272 $BTC($742M) over the past 16 days.
During the timeframe from August 27th to September 24th, as Bitcoin ($BTC) consistently stayed under the $60K mark for an extended duration, BlackRock only made minimal purchases.
Since Sept 24, they’ve resumed buying, adding 12,272 $BTC to their holdings, and currently hold…
— Lookonchain (@lookonchain) October 11, 2024

Over the past week, BlackRock recommended investing in Bitcoins due to the weakening strength of the U.S. Dollar over time, which in turn diminishes its purchasing power. Conversely, Bitcoin is seen as a protective measure against inflation, offering a robust counterpoint to the decreasing buying power of the U.S. dollar.

As a researcher, I’m noting that, similar to BlackRock, Metaplanet is also strategically purchasing Bitcoins during market dips. Recently, Metaplanet has made another substantial acquisition by buying approximately 108.99 Bitcoins for roughly ¥1 billion, with each Bitcoin costing around ¥9,174,396. This latest purchase was made just four days after their earlier Bitcoin purchase this week. Currently, Metaplanet’s total Bitcoin holdings now amount to 748.50 Bitcoins, which they have acquired for approximately ¥6.965 billion at an average price of ¥9,304,655 per Bitcoin as of October 11.

*Metaplanet purchases additional 108.99 $BTC*
— Metaplanet Inc. (@Metaplanet_JP) October 11, 2024

BTC Whales Panic Sell

As an analyst, I’ve noticed a significant surge in Bitcoin’s price volatility recently, which has sparked speculation among experts about the potential for another 75% correction, given historical trends. Simultaneously, while institutions like BlackRock are buying into the market, crypto whales appear to be offloading their holdings during this correction, suggesting a sense of panic selling.

According to recent figures from Lookonchain, a substantial Bitcoin investor (referred to as a ‘whale’) has recently dumped approximately 800 BTC worth around $48.5 million after a downturn in the price of Bitcoin. Prior to this sale, this whale had amassed a total of 11,659 BTC valued at about $727 million between June 19th and now, at an average price of roughly $62,362 per coin. The whale then offloaded 10,345 BTC worth approximately $619 million at a price of $59,847 each, resulting in a loss of around $26 million. Even with this financial setback, the whale still owns 8,936 BTC valued at $540 million.

This whale panic-sold 800 $BTC($48.5M) again after the $BTC price dropped!
From June 19th onwards, this whale has acquired a total of approximately 11,659 Bitcoin (equivalent to about 727 million dollars at the price of $62,362) and later sold around 10,345 Bitcoin (equivalent to roughly 619 million dollars at the price of $59,847). This sale resulted in a loss of approximately 26 million dollars. Currently, this whale still owns 8,936 Bitcoin (worth about 540 million dollars).
Address:…
— Lookonchain (@lookonchain) October 10, 2024

Earlier today, the Bitcoin price plunged below $60,000 due to the release of the US Consumer Price Index (CPI) data for September and the high inflation rates it revealed. This recent trend has diminished the optimism among bulls that a ‘Bullish October’ (Uptober) might occur.

Read More

2024-10-11 09:31