Bitcoin Accumulation by Retail and Institutions Signals Potential Breakout Near $109K
Bitcoin is holding around $108,716, but behind the flat price action, accumulation by retail and institutional investors is intensifying, suggesting a possible breakout.
André Dragosch, European head of research at Bitwise, noted on Aug. 29 that corporate adoption of bitcoin is accelerating rapidly. In July and August alone, 28 new bitcoin treasury companies were created, collectively adding more than 140,000 BTC—nearly matching the total new supply mined annually (~164,000 BTC). This indicates corporate demand is absorbing supply faster than miners can produce it.
Dragosch’s charts highlight a steep rise in corporate bitcoin holdings, reflecting a trend of companies increasingly treating BTC as a treasury asset, akin to Strategy (MSTR).
While some analysts suggest bitcoin could “top out” in 2025 based on post-halving cycles, Dragosch argues such comparisons overlook current institutional demand. As of Aug. 29, institutional accumulation exceeded 690,000 BTC, versus just over 109,000 BTC in new supply—a nearly sixfold imbalance, dwarfing historical patterns.
Retail investors are also showing strong interest. On Aug. 27, Dragosch reported that accumulation across all wallet sizes—from small holders to whales—reached its highest level since April. He described the trend as investors “stacking relentlessly,” aligning with institutional flows—a setup historically preceding major upside moves.
Despite this accumulation, bitcoin has remained near $108,716 as the market awaits fresh catalysts.
Price Action Highlights (Aug. 30–31)
- BTC traded in a $1,285 range, peaking at $109,518.96 before pulling back.
- Resistance held near $109,500, with a 6,077 BTC volume spike.
- Support formed at $108,350–$108,400, where buyers stepped in.
- Institutional participation surged, with volume reaching 8,272 BTC at 13:00 UTC.
- BTC broke out from $108,340 to $108,398 in two phases: consolidation around $108,260–$108,350, then surpassing $108,470 resistance at 13:46 UTC.
- Profit-taking caused minor pullbacks to $108,320–$108,360, but prices remained above $108,380.
Volatility remains elevated after August’s sharp decline from $124,500. BTC still faces key resistance at $110,500, and analysts caution that a test of the $100,000 psychological level cannot be ruled out.
