Amid rising institutional demand and dwindling supplies of Bitcoin, its price has already surpassed 100,000 dollars, with some experts predicting further increases.
Unbalanced Market Model
At first glance, the market appears stable, but beneath the surface, a hidden supply shock is causing upheaval. Matthew Hougan, CIO of Bitwise, states: "The equation is simple: there isn't enough bitcoin for everyone." In 2025, annual BTC production is capped at 165,000 units, while institutional players, particularly ETFs, have absorbed far more than this amount. Inflows into Bitcoin ETFs in the United States exceed 6 billion dollars and continue to grow, while miners' reserves are decreasing.
The Impact of Strategy
The company Strategy, led by Michael Saylor, is aggressively accumulating BTC, currently holding over 568,000 bitcoins, representing more than 2.7% of maximum supply. Over the past six months, the company has acquired nearly 380,000 BTC, more than double the network’s annual production. This creates an effect equivalent to a halving, artificially fueling bullish momentum.
New Rules for Bitcoin
The arrival of institutional players and BTC-backed financial products has rendered the old four-year cycle model obsolete. According to Hougan, the market is undergoing a transformation: Bitcoin is becoming a global reserve asset, rather than just a speculative product. Coupled with an unstable macroeconomic context and pressure on fiat currencies, Bitcoin is evolving into a digital monetary standard.
Fundamental shifts in the market, driven by supply shortages and increasing institutional demand, may result in significant price rises for Bitcoin in the coming years, ushering in a new era for digital currencies.
