Long-termBitcoin holders offload over 97,000 coins while ETF investments surge, topping $1.5 billion.

In the ever-evolving world of cryptocurrency, the past week has seen a surge in volatility, with the Israel/Gaza escalation and renewed Russia-Ukraine energy strikes contributing to an increased risk premium. This heightened risk has the potential to trigger headline-sensitive market fluctuations.

Amidst this turbulence, Bitcoin (BTC) has found itself consolidating near the $108-$110K range. The sell-off, primarily from 1-2 year old, 6-12 month old, and 3-5 year old holders, has been a key source of recent supply. Despite this, BTC has shown resilience, withstanding heavy liquidations around the $109.5K mark last week.

Last Friday saw a significant move from long-term holders (LTH), who sold off 97,000 BTC. This marked the largest one-day LTH move this year. However, the most likely buyers of this substantial volume were institutional investors and corporate entities, who are currently acting as significant buyers in the Bitcoin market, absorbing large sell volumes and stabilizing prices.

Companies and Bitcoin Treasury firms collectively acquire around 1,400 BTC per day, supported by strong investor interest in their stocks, bonds, and other securities. This indicates that these institutional investors are the primary purchasers backing the market at this time.

As we approach Labour Day, eyes are on BTC holding the $107.4K mark and for ETF flows to resume, which could help absorb the selling pressure from long-term holders.

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In summary, while the market has seen significant volatility, the resilience of Bitcoin and the continued interest from institutional investors offer a glimmer of stability in these uncertain times.