Binance has announced that it will be opening two new offices in Brazil, with the team behind the operation doubling in number.
It’s difficult to know what the cryptocurrency market might do – the volatility could send Bitcoin soaring or crashing over the course of a day and trying to predict what the direction might be might seem impossible.
It’s been advised by analysts that trend-spotters that instead of following the market, following the money – or rather, those with the money – offers more insight into what direction things might move in. This means keeping an eye on what whales, institutions and large scale investors are doing and how they’re responding to volatility in the market. Following the money is almost like a little cheat code to catch crypto trends.
What are the institutions doing while Bitcoin hovers?
Major institutional Bitcoin bull MicroStrategy has just announced that it will be adding another massive Bitcoin purchase to its current holdings. Taking advantage of the current dip, as Bitcoin sits at 43.7% less than it was in November, MicroStrategy’s Michael Saylor announced that a whopping 660 Bitcoin tokens will be purchased by the company, locking in nearly $25 million USD worth of cryptocurrency in one go.
MicroStrategy has purchased an additional 660 bitcoins for ~$25.0 million in cash at an average price of ~$37,865 per #bitcoin. As of 1/31/22 we #hodl ~125,051 bitcoins acquired for ~$3.78 billion at an average price of ~$30,200 per bitcoin. $MSTRhttps://t.co/bF6VImC0Qy
— Michael Saylor⚡️ (@saylor) February 1, 2022
In April last year, Tesla sold 10% of its cryptocurrency holdings – but the move was not a bearish one. Rather, as Elon Musk explained, it was to price the liquidity of the digital asset as an alternative asset to traditional fiat and holding cash on the company’s balance sheet. Since then, Tesla has not sold its crypto and is holding tight to the 42,000 Bitcoin it bought.
No, you do not. I have not sold any of my Bitcoin. Tesla sold 10% of its holdings essentially to prove liquidity of Bitcoin as an alternative to holding cash on balance sheet.
— Elon Musk (@elonmusk) April 26, 2021
Unsurprisingly, Galaxy has not made any moves to sell its Bitcoin holdings. Instead, just this month, a new Chief Operating Officer of Galaxy Digital Asset Management, which oversees around $2.9 billion USD in assets, was hired. Former manager of Blackstone William Burt joined the Galaxy team. While the news might not be directly related to Bitcoin accumulation, any increase to the team represents confidence in the future of cryptocurrency, despite the dip.
Block (formerly Square)
— jack⚡️ (@jack) October 8, 2020