This year has indeed been an amazing year and a record-breaking year when it comes to cryptocurrency adoption. Turns out that sovereign wealth funds of countries are officially beginning to purchase Bitcoin.
Looking at the charts for Bitcoin, we have just bounced off of the fifty-day moving average and it is looking quite nice. The fifty-day moving average is a very important line that signals that the uptrend is still in motion and still in play. There are very rare and important opportunities whenever it bounces off the fifty-day moving average.
The last bounce off the fifty-day moving average saw Bitcoin really by 98 percent. If this repeats this time, it signals that Bitcoin will most probably go straight to 100 thousand.
Looking at the last bull run, you can observe that Bitcoin either touched or fell under the fifty-day moving average seven times and every single one of those times was a very wonderful opportunity to price Bitcoin going on to reach new highs.
On the other hand, Ethereum is settling 22 billion dollars worth of volume every day on-chain. Bitcoin is settling around 12 billion dollars a day on-chain.
Despite the high fees, ethereum is making waves and this clearly shows what people are doing beyond the narrative and the hype.
Bitcoin is the type most people buy and hold which clearly explains the low volume while Ethereum is the nexus of everything going on in the crypto market. NFTs, DeFi, Smart contracts, and the rest are all happening on Ethereum. Ethereum is currently the biggest chain with the biggest amount of users but the big money still goes into Bitcoin.
The CEO of the New York Digital Investment Group (NYDIG), which is one of the biggest players in the Bitcoin fund markets, leaked that state-owned investment funds are starting to inquire from them about Bitcoin purchases.
The sovereign wealth funds symbolize a large amount of money and globally,l sovereign wealth funds have over 10 trillion dollars at their disposal.
Sovereign wealth funds represent different countries and investment farms. For example, the UAE has about 1.3 trillion dollars at their disposal, Singapore has about 70p billion dollars and Australia has around 300 billion dollars, etc.
This is the first step for countries allowing their sovereign wealth funds to buy Bitcoin before we begin to see Central Banks buy Bitcoin for their reserves.
The entry of these funds will be the major catalyst for the country-level Bitcoin FOMO to kick in.
