As the Bitcoin (BTC) bull run continues, recent data shows that despite the cryptocurrency's significant price increase, millionaire wallets are increasing at a slower pace compared to the frenzy seen during the 2020-2021 uptrend.
Data Reveals Bitcoin Bull Run Producing Millionaire Whales at Slower Pace
Bitcoin, the leading cryptocurrency by market cap, has surged 70% since the beginning of the year, breaking previous records and trading above $72,000.
This rise comes on the heels of last year's remarkable 155% increase from the depths of a difficult bear market.
According to data compiled by Paris-based Kaiko, the current bull run is witnessing the creation of fewer than 2,000 millionaire wallets (wallets holding at least $1 million worth of Bitcoin) on a daily basis.
This figure is in stark contrast to the previous bull run, when more than 4,000 millionaire wallets were created per day and more than 2,000 wallets had balances of $10 million or more.
The slower rate at which millionaire wallets are being created may indicate that the bull run is still in its early stages and the potential for more entries has not yet peaked.
Market consensus suggests that the Bitcoin price could rise to $150,000 and beyond in the coming months due to continued inflows into spot exchange-traded funds (ETFs) and the impending supply reduction resulting from the halving event.
In his weekly newsletter, Kaiko offered insights into the possible reasons behind the slower growth rate of millionaire wallets.
Factors such as the fact that new capital has not yet fully entered the market, large whales profiting from Bitcoin's new highs, and whales storing their assets in custodians rather than personal wallets were cited.
*This is not investment advice.
