Chainalysis recently released an article titled “Why Bitcoin is Surging and How This Rally Is Different from 2017 (Hint: It’s Who’s Buying).”
The blockchain analytics firm referenced Bitcoin’s amazing run of form, in which the leading cryptocurrency has gained 150% in value since the start of 2020.
A strong last two months has seen the price of BTC crack key resistance levels along the way. Currently, it’s up 3% on the day to $18.2k.
What’s more, technical analysis suggests that staying above this level could spur a rally to $19k.
Source: BTCUSDT on TradingView.com
With the price hovering close to 2017’s all-time high of $20k, it’s natural to draw parallels between then and now.
But Chainalysis believes the underlying market conditions differ when compared to three years ago. Now, the surge in institutional buyers sees a more astute and strategic market.
Retail Investors No Longer Majority Buyers
According to Chainalysis, in 2017, the majority of Bitcoin buyers were