Large Bitcoin ($BTC) investors, also known as whales, are \u201cbeginning to take interest\u201d in the cryptocurrency\u2019s price movements as it rallies past the $19,000 mark for the first time since November 2022 as inflation appears to cool down.<\/p>\n
According to on-chain analytics firm Santiment, Bitcoin transactions worth $1 million or more have started to rebound to levels last seen in November 2022 to average over 1,700 per day, moving up along with the cryptocurrency\u2019s price.<\/p>\n
It is worth noting that the actions of a class of individual holders should not be taken as a definitive indicator of market direction, as the price of any asset is ultimately determined by supply and demand dynamics.<\/p>\n
As CryptoGlobe reported, around 13% of the flagship cryptocurrency\u2019s circulating supply has returned to a state of profit, meaning it was acquired below the current price of BTC.<\/p>\n
After Bitcoin\u2019s recent rally, a significant percentage of the cryptocurrency\u2019s supply\u00a0returned\u00a0to profit in a move that \u201chelps to confirm that a large volume of $BTC was acquired between $16.5k and $18.2k.\u201d<\/p>\n
The accumulation could have a significant impact on the cryptocurrency\u2019s future price performance, as the area could now turn into a strong support zone in which demand far outweighs supply.<\/p>\n
Notably, various other analysts are bullish on BTC. Some predictions, \u00a0including from former Goldman Sachs executive\u00a0Raoul Pal and\u00a0from an Ark Invest analyst, point to a $1 million price tag in the future.<\/p>\n
Blockware Solutions, a company specializing in Bitcoin mining, has released a research report titled \u201cPurchasing Power Under a Bitcoin Standard,\u201d which states that if Bitcoin becomes the dominant store of value, its\u00a0price could reach nearly $23 million.<\/p>\n
The report also predicts that Bitcoin\u2019s purchasing power could comprise approximately 61.4% of the total global market cap of financial assets and that its value will increase in perpetuity due to technological advancements increasing economic productivity over time.<\/p>\n
The report assumes an average annual global GDP growth rate of 2%, which would lead to the purchasing power of Bitcoin doubling every 36 years.<\/p>\n