Bitcoin enthusiasts in Asia awoke today to the sobering reality that even Michael Saylor’s aggressive BTC acquisitions can’t counterbalance the waning spot demand for the cryptocurrency. Despite Saylor’s Strategy (MSTR) and other institutional players like Exchange Traded Funds (ETFs) stepping up their game, Bitcoin’s price remains stubbornly below its all-time highs, standing at $109,000 as trading kicks off this week, according to CoinDesk data.
Institutional Moves vs. Spot Demand
CryptoQuant’s recent analysis paints a picture of an ecosystem where institutional enthusiasm isn’t translating into broader market momentum. Their report highlights that while ETFs and MSTR are still accumulating Bitcoin, the overarching demand is slumping. Over the past 30 days, BTC demand has shrunk by a substantial 895,000 coins. The once robust December spree, where ETFs scooped up 86,000 BTC and MSTR snagged 171,000, has now dwindled. In June, ETFs managed only 40,000 BTC, and MSTR a mere 16,000.
“The market is grappling with a significant demand contraction,” noted a CryptoQuant analyst. “This slowdown is essentially negating the impact of institutional buys, keeping Bitcoin mired in a consolidation phase.” For further insights on why Bitcoin’s price struggles to surpass its all-time highs, see our analysis.
Market Sentiments and Expert Opinions
Adding another layer to this narrative, Anthony Scaramucci of SkyBridge Capital predicts a sharp decline in the BTC treasury strategy—a concept that had been a reliable demand engine. In a recent Bloomberg interview, he expressed skepticism: “The treasury company model is on the brink of fading. While Saylor’s diverse approach might set him apart, investors need to scrutinize the underlying costs tied to these strategies.”
Yet, not everyone shares this cautious outlook. Standard Chartered remains bullish, sticking to its ambitious $200,000 price target for Bitcoin. Such optimism underscores the contrasting perspectives within the investment community, with some seeing the current phase as a mere hiccup in a longer upward trajectory. For a detailed exploration of what must happen for Bitcoin to break $112K, refer to our coverage.
Broader Market Trends
As Bitcoin navigates these turbulent waters, Ethereum has exhibited more dynamism. ETH’s weekend rally from $2,520.45 to $2,558.63, buoyed by substantial trading volumes and record whale accumulation, points to potential upward movement despite facing resistance near $2,600. Meanwhile, gold’s 1.91% rise to $3,336.61 last week, propelled by a weakening dollar and looming Federal Reserve rate cuts, reflects broader economic jitters influencing asset classes across the board.
In Japan, the Nikkei 225 faced a modest dip of 0.26%, as mixed signals from the White House on tariffs added to the market’s uncertainty. On a geopolitical front, cooling trade tensions have led to a notable plunge in U.S. recession odds, now at 22% on Polymarket.
Looking Ahead
With Bitcoin’s mempool nearly empty, a clear indicator of tepid retail interest, the crypto market stands at a crossroads. The pivotal question remains: if institutional buys continue their downward trajectory, what does this mean for Bitcoin’s price resilience? While the answer is far from certain, the crypto community will undeniably keep a watchful eye on these evolving dynamics, eager to see whether Bitcoin can break free from its current consolidation and resume its upward march. In the meantime, investors are left to ponder whether this trend will endure—or if the tides will turn once again.
Source
This article is based on: Asia Morning Briefing: Michael Saylor’s BTC Buys Aren’t Making Up For Slowing Spot Demand, Say Analysts
Further Reading
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- Bitcoin ‘demand generation’ phase mirrors 2022 market bottom — Are new highs incoming?
- Bitcoin price stuck as OGs are ‘dumping on Wall Street’: Analyst
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
