Bitcoin Price Stalls as Institutions Quietly Scoop Up Supply

▲ Bitcoin (BTC)

Bitcoin (BTC) has remained stuck in a tight trading range, showing a dull price movement. However, key on-chain indicators such as the number of active addresses and corporate holdings are recording unprecedented growth, building strong upward momentum.

According to cryptocurrency media outlet Cointelegraph on February 26 (local time), despite Bitcoin’s sideways movement amid volatility, global adoption is accelerating. The total number of virtual asset holders worldwide has reached approximately 559.4 million, accounting for about 9.9% of global internet users. In particular, real-world use cases are expanding in developing countries, indicating that Bitcoin’s fundamentals are improving much faster than its price metrics.

The entry of institutional investors has become a key pillar of the expanding Bitcoin ecosystem. The number of publicly listed companies holding Bitcoin on their balance sheets has increased to 194, with major firms including Strategy continuing aggressive accumulation. Meanwhile, U.S. spot Bitcoin ETFs now hold approximately 5.2% of the total circulating supply, absorbing market liquidity. The growing share of institutional holdings demonstrates increasing trust in Bitcoin as a long-term store of value rather than a short-term speculative asset.

Amid stagnant prices, experts are focusing on network activity and the upward trend in wallet addresses. The number of valid Bitcoin wallets has surged by more than 700% over the past several years, while the proportion of newly entering retail investors continues to rise steadily. According to analysis by Santiment, long-term holders have not halted accumulation despite price declines, serving as a key factor in strengthening price downside support.

Technical indicators observed in on-chain data, including the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), suggest that Bitcoin may be entering a historically attractive buying zone. Notably, the market value to realized value (MVRV) ratio remains in undervalued territory, while exchange outflows by whale investors are at record-high levels. Experts predict that this supply shortage, combined with changes in the macroeconomic environment, could trigger exponential price growth in the future.

The Bitcoin market has now firmly established itself as a core component of the global financial infrastructure, moving beyond being a mere speculative asset. Rather than focusing solely on short-term price metrics, it is increasingly important to examine substantive growth indicators such as network adoption rates and institutional holdings. Bitcoin’s intrinsic value continues to be renewed daily alongside the expansion of its network.

Disclaimer: This article is for investment reference only and we are not responsible for any investment losses resulting from it. The information provided should be interpreted for informational purposes only.