The rise of Bitcoin at the end of 2020 and the beginning of 2021 was characterized by the institutional demand for the currency and the allocation of part of the treasuries of these institutions to Bitcoin to counter inflation and achieve negative returns from the rise of Bitcoin.

Currently, Bitcoin fluctuates between the level of 48 thousand dollars and 52 thousand dollars, and according to the report, which we will explain and review its numbers and data, institutional investors continue to allocate funds from their budgets to Bitcoin.

On March 2, 2021, Coinbase recorded the transfer of large amounts of bitcoin to custodians, amounting to $630 million, indicating that institutions continue to accumulate and store bitcoin.

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Institutions double their BTC purchases:

clearer Mr. Ki Young Joo, CEO of CryptoQuant, has repeatedly mentioned the relationship between the price of Bitcoin and the institutions that use the largest cryptocurrency exchange in the USA, Coinbase, to buy more cryptocurrencies.

According to a report from the company “CryptoQuant”, the recent increase in the price of bitcoin was recorded after investors transferred large amounts of bitcoin to custodian addresses.

Ki Young Joo predicted last week when Bitcoin struggled with the $45,000 level that Bitcoin would soon return above the $48,000 level, which I consider to be the “institutional buying level.”

Joe’s prediction came true, Bitcoin surged above $50,000.

In addition, Joe explained that institutional investors have withdrawn another significant portion of the Coinbase platform to custodian portfolios.

CryptoQuant data indicates that the withdrawal this time was around 12,400 BTC.

From a dollar perspective, this large volume represents about $613 million at today’s prices.

Data shows that individual and institutional investors continue to hoard Bitcoin:

During the market crash last week, BTC lost about 25% of its value within days, reports emerged that miners moved large portions of newly mined bitcoins to exchanges and cashed out some profits just before the drop.

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The crypto community was afraid that institutional and individual investors would follow what the miners had done which could trigger and start more selling that could hurt the bitcoin price even more.

But it seems that things are not so.

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Data from Glassnode shows that bitcoin holders actually increased transfers to exchanges in the past week or so in February.

However, the trend quickly reversed, and bitcoin investors pulled some of their stakes out of the trading platforms.

Looking at the bigger picture, it is clear that investors are determined to reduce the holdings of bitcoin stored in exchanges.

In the past six months alone, the percentage of BTC on exchanges has fallen from over 14.5% to 12.5%, indicating an increasing prevalence of a “HODLing” mentality.

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