There is less than 12% of Bitcoin left in the world to mine

As of today, more than 18.5M BTC has been mined, leaving slightly less than 2.5M BTC left to be mined. This means that of the total supply of bitcoin, more than 88% has been mined. Remember, bitcoin has a hard supply of 21million. As the supple dwindles, and institutional demand strengthens, we’re gonna see a short squeeze in the price of BTC as corporations leap over themselves trying to get their hands on however many coins they can get.

MicroStrategy goes all in on Bitcoin as its macro strategy

We’ve just started to see this come into play, as MicroStrategy adopts bitcoin as their primary treasury reserve asset, buying up 38,250 BTC over the course of a couple of months between August and September 2020. They had been looking to re-allocate around USD$500M from cash into other assets, and essentially piled over 80% into Bitcoin.

Grayscale Bitcoin Trust

Meanwhile, Grayscale has been gobbling up Bitcoin to feed it’s bitcoin trust, and currently has about $4.8B AUM in its trust. This means that it has $4.8B worth of Bitcoin, and is still continually buying in the market. Currently, north of 400K BTC sits in Grayscale’s vaults.

It is also not uncommon for them to purchase over 1,000 BTC weekly. There’s currently roughly 900 BTC mined daily. In a week, that’s about 6,300. At this rate, Grayscale alone is buying up 16% of newly minted BTC.

What happens when new whales arrive hungry?

As the bitcoin narrative gains steam, and more and more institutions are thinking about converting, or hedging some of their assets in Bitcoin, while at the same time, lesser and lesser bitcoins are available in the market, what do you think happens?

There will be blood.

There will be demand. And they will pay anything to get their hands on some of that deflationary treasure.

I think we have truly moved beyond 2017’s hype cycle, and many of the bigger players are starting to sit up and take stock of the asset, especially given how it not only survived the march battering, but also gotten back up, and outperformed the stock markets and gold by a mile year-to-date.

Bitcoin has fended off challenges and FUD over the last 10 years, only to not just survive, but thrive and grow.

Bitcoin sets record 65 straight days closing above $10,000

We’ve seen another record being created recently, of the number of days Bitcoin has traded and closed above the hugely psychological level of USD$10,000. This record is currently at 65 days, and still going. The 2nd longest time Bitcoin did this, was during the 2017 bull run for 62 days.

This latest record began July 27, 2020. In fact, this new record was set rather uneventfully, with the price ranging between $10,100 and $12,000. I feel that this makes it all the more impressive, given we’re used to wild swings and crazy volatility associated with the letters B T and C.

I think we’re primed for a lot more upside to this asset over the next few years, especially at the next halving in 4 years’ time.