Despite strong institutional demand and steady inflows, Bitcoin has failed to break past the $100,000 mark in recent weeks, raising questions about what’s driving the stall.
Weighing in on BTC’s (BTC) performance, Capriole Investments founder Charles Edwards said the sideways action reflects a major rotation between long-term holders and new institutional buyers.
According to Edwards, many long-term Bitcoin holders, the “OGs,” have been offloading their positions since the launch of spot exchange-traded funds (ETFs) in January, dumping large portions of their holdings on Wall Street buyers.
“People are wondering why Bitcoin has been stuck at $100K for so long,” Edwards wrote in a June 29 X post. “It’s because Bitcoin OGs have been dumping on Wall Street since the ETF launch.”
Edwards noted that while ETF inflows have been strong, much of that liquidity was met with heavy selling from early holders exiting at high prices. This supply pressure, he said, has contributed to the current stagnation in price.
However, the entry of a new class of buyers suggests a breakthrough may be brewing.
Corporate Bitcoin bid to the rescue?
While long-term holders have been exiting, Edwards pointed to a new class of buyers stepping in as corporate treasury allocators.
Recent months have seen several institutions and governments around the globe turn to Bitcoin as a reserve asset, building strategic treasuries focused on long-term accumulation. The shift in investors is now driving what the Capriole Investments founder describes as a “flywheel” effect, a steady, conviction-driven buying that reinforces price support and attracts further institutional interest.
Supporting the trend, on-chain data shows that six-month-plus Bitcoin holders have risen sharply over the past two months. This group has been in a strong accumulation phase, absorbing more BTC than long-term holders sold over the past 18 months.
The consistent pace of accumulation suggests growing conviction among newer market participants. Historically, similar spikes in long-term holding have preceded upward price moves and should the trend continue, it could mark a bullish shift for Bitcoin.
