Bitcoin's Bull Run: 25% YOY Surge in $100+ Wallets, Institutions Drive Market

Bitcoin's bull market continues to gain momentum, with a significant increase in the number of wallet addresses holding at least $100. According to Binance, this figure has surged by 25% year-on-year, approaching nearly 30 million. This growth reflects a robust influx of both retail and institutional investors entering the market, marking a notable shift in the crypto landscape.

The rise in wallet counts indicates a burgeoning market sentiment, where both retail and institutional players are increasingly confident in Bitcoin's potential. This trend has been fueled by various factors, including Bitcoin's ongoing appeal as a digital asset and recent price movements. Historically, such growth in wallet counts has coincided with bull runs, most notably in late 2017 and 2021. The recent surge has also been driven by Bitcoin's recent performance, which saw it surpass the $100,000 mark in mid-2024.

Institutional interest has played a crucial role in this trend, particularly following the approval of spot Bitcoin ETFs. The BlackRock iShares Bitcoin Trust (IBIT) has been at the forefront of this shift, accumulating over $50 billion in assets by the end of 2024. This has resulted in ETF holdings doubling to over 1.25 million BTC, reflecting a significant sea change in market dynamics. As institutions gain confidence in Bitcoin, the narrative around cryptocurrency is shifting from one mainly dominated by retail investors to a more balanced ecosystem with institutional players taking a notable position.

Simultaneously, the Bitcoin network's hashrate has reached unprecedented levels, now exceeding 800 exahashes per second (EH/s). This represents a spectacular increase of 33% from just 600 EH/s within the past year, showcasing a surge in miner activity and enhanced security across the network. According to Binance, "Bitcoin's hashrate has recently surpassed the combined computing power of tech giants such as Amazon AWS, Google Cloud, and Microsoft Azure." This level of security not only minimizes the risk of attacks but also signifies strong confidence among miners regarding Bitcoin's long-term viability.

In a separate report, CryptoQuant revealed that 86% of Bitcoin in circulation is currently "in profit." This reflects a different narrative than in past market cycles, where the overall sentiment leaned heavily towards fear during corrections