BTC bulls come back after the GameStop episode

Bitwala CandlesJan 29th 21
BTCUSD daily chart

Bitcoin bulls proved they have not ran out of steam yet by driving the price 27% up in 2 days. We have seen a 30% correction since the $42,000 peak on January 8th. It appears that the spike in price can be attributed to the GameStop episode, that segued into crypto. This case also demonstrated how different markets could behave in a decentralised technology-driven future.

DeFi Continues Explosive Growth

DeFi projects are soaring in price as the hype comes back. UniSwap is up 200% since the beginning of January and it hit $25 Billion in monthly volume. Uniswap is a leading decentralised exchange that surpassed 300,000 Monthly Active Users in December. There was a sharp decline for Uniswap in November due to the end of liquidity incentives. Despite the lack of incentives now the liquidity on the platform continues to increase. There is currently $3.36 billion in liquidity on the platform.

Uniswap is not the only hot DeFi protocol in the space right now, Aave is also experiencing a high interest. This month it grew 220% and is currently worth $260 per token. The data from CoinMarketCap shows that Aave’s total ROI is almost 49,000% since inception.

Institutional money to keep coming in

A patent holding company listed on NASDAQ Marathon Patent Group recently purchased $150 Million in Bitcoin. Their CEO Merrick Okamoto, noted that the company chose Bitcoin because of its long-term economic value over the US dollar.

Among other big names in the institutional world showing a great deal of interest in crypto is MicroStrategy, as they accumulated over 70,000 Bitcoin since last year and currently hold over 2 billion worth of Bitcoin.

Grayscale also continues its bitcoin accumulation. In December last year they had approximately $13 billion worth of crypto Assets Under Management. This month they added over $1 Billion worth of bitcoin. They also seem to be preparing to add some other cryptocurrencies to their trust, like Chainlink and Tezos.

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