The amount of Bitcoin in exchanges has dropped to the lowest level since November 2018
The supply of Bitcoin on cryptocurrency exchanges has dropped significantly, reaching the lowest level since November 2018. This trend indicates that investors are increasingly inclined to hold Bitcoin for the long term rather than actively trading. According to data from CryptoQuant, the number of Bitcoins held by trading platforms has dropped to around 2.58 million, a significant decline from the bull market peak before 2021.
CZ: Countries will compete to include Bitcoin in their strategic reserves
On November 19, CZ expressed appreciation for the speech by MicroStrategy founder Michael Saylor, saying: "Excellent speech. Worth a listen. Also, thank you for the shoutout to Binance in the video. Countries will compete to print money and buy Bitcoin, i.e., Bitcoin strategic reserves. No one can be the last one."
Wall Street giants are heavily buying MicroStrategy stocks
Data from 13f.info shows that the number of institutional holders of MicroStrategy has jumped from 667 to 738, with a total reported value of $15.3 billion. The world's second-largest asset management company, Vanguard Group, and Capital International Investors bought nearly 16 million shares of MicroStrategy in the third quarter, with their MSTR holdings growing by about 1000%. Investment banking giant Morgan Stanley bought 8 million shares, a 500% increase quarter-over-quarter. Goldman Sachs and Bank of America's purchases were smaller (696,000 shares and 766,000 shares, respectively), but this was another round of buying after their significant purchases in the previous quarter. Meanwhile, State Street and Susquehanna also bought 5.3 million MSTR shares.
Economic Daily: Will Bitcoin become a US reserve asset?
The Economic Daily published an article titled "Will Bitcoin become a US reserve asset?". The article states that although the incoming US administration is showing a keen interest in cryptocurrencies, for Bitcoin to truly become a national reserve asset for the US, it will need to pass through multiple "checkpoints". From a policy perspective, listing Bitcoin as a strategic reserve asset would require a complex legislative process, involving the coordination and balancing of interests of multiple regulatory agencies. Additionally, traditional US financial institutions, conservative lawmakers, and interest groups skeptical of digital assets are likely to mount concentrated opposition, making implementation quite challenging. The skyrocketing Bitcoin price seems to have given some the hope of recreating the process "from the collapse of the Bretton Woods system to the establishment of the petrodollar". However, the inherent instability of Bitcoin's attributes, if it becomes a strategic reserve asset, may pose greater challenges for regulators and could also raise alarms in other countries, exacerbating frictions in the international financial arena. Whether the US economy, long eroded by high inflation, can withstand its impact remains to be seen.
US Treasury: Foreign holdings of US debt hit a record high
The latest data released by the US Treasury Department on Monday shows that the total amount of US debt held by foreign countries rose from $8.5034 trillion in August to $8.6729 trillion in September, the highest level on record and the fifth consecutive month of increase. China's holdings of US Treasuries decreased by $3 billion to $772 billion in September, while Japan's holdings decreased by $6 billion to $1.123 trillion in September.
Analysis: MicroStrategy still has $15.3 billion in unused capacity for its stock issuance and sales plan to purchase Bitcoin
On November 18, crypto KOL Remo Uherek analyzed on the X platform that MicroStrategy's disclosure of the purchase of 51,780 additional Bitcoins was funded by its stock issuance and sales (ATM program), and so far they have used about $5.7 billion of the $21 billion ATM program, accounting for about 27% of the total, with the remaining $15.3 billion still unused; if they continue to purchase at this pace, their ATM program will be completed by the end of the year. They now hold a total of 331,200 Bitcoins, accounting for 1.58% of the total Bitcoin supply.
Musk: I still hold a lot of Dogecoin, and SpaceX holds a lot of Bitcoin
On November 18, Dogecoin UI designer DogeDesigner shared an audio clip of Musk, in which Musk stated, "I still hold a lot of Dogecoin, and SpaceX holds a lot of Bitcoin".
The correlation between Bitcoin and US stocks has dropped to a five-year low
Data shows that the co-movement between Bitcoin and the Nasdaq index is only 52% in 2024, with the 30-day correlation dropping to 0.46, one of the lowest levels in the past five years. According to Fidelity data, the correlation between Bitcoin and the S&P 500 index is only 19%, with the best Sharpe ratio performance among major asset classes.
