According to CryptoQuant CEO Ki Young Ju, the crypto market’s recent momentum has been heavily influenced by major institutional players, particularly Exchange-Traded Funds (ETFs) and MicroStrategy. These entities have contributed significantly to the demand for Bitcoin and other digital assets in 2024.
Ju emphasized that if the buying activity from these institutions resumes or increases, it could reignite the market’s upward momentum. MicroStrategy, led by Michael Saylor, remains one of the most aggressive corporate buyers of Bitcoin, holding over 150,000 BTC. Similarly, spot Bitcoin ETFs have brought a wave of traditional investors into the crypto space.
Why ETFs and MicroStrategy Matter
ETFs offer an easy gateway for institutional and retail investors to gain exposure to Bitcoin without directly holding it. This accessibility has resulted in billions of dollars flowing into the crypto market. When ETF inflows are strong, they create demand pressure that often drives prices upward.
MicroStrategy’s strategy has also proven to be a market-moving force. Their consistent accumulation of Bitcoin not only signals confidence in the asset but also removes large amounts of BTC from the open market, tightening supply.
Ju suggests that if these entities continue—or resume—heavy buying, we could see another strong rally. On-chain data supports this view, showing that demand has slowed recently in correlation with reduced ETF inflows and MicroStrategy activity.
OPINION: Crypto Quant CEO says ETFs and MicroStrategy drive demand and momentum could return if their buying resumes.
— Cointelegraph
Looking Ahead: Will the Bulls Return?
The market has been in a state of consolidation, with traders watching institutional behavior closely. CryptoQuant’s CEO believes the key to the next move lies in these big buyers. If ETF inflows return to previous highs and MicroStrategy initiates another major acquisition, bullish momentum could swiftly return.
For now, investors are advised to monitor institutional trends, as their movements may dictate the direction of the next crypto wave.