New York-based blockchain firm, Galaxy Digital, has expanded its Bitcoin holdings after securing an additional $58 million worth of the coin. This follows a 400 BTC purchase on August 19. Notably, the acquisition comes amid a global market downturn that has sent the price of BTC below the $60k mark and a 1.75% reduction in the total crypto market cap.
Galaxy Digital Goes Bullish on Bitcoin
Mike Novogratz’s Galaxy Digital has reportedly boosted its Bitcoin portfolio, indicating a significant trust in the future direction of Bitcoin values, according to Arkham Intelligence. The company’s assets increased by 600 BTC, valued at $36.62 million, on August 20, and earlier today, it bought another 380 BTC, worth $22.58 million.
This comes after another completed order on Monday, in which Galaxy Digital invested $23 million to purchase 400 BTC. The aggressive actions taken by the Novogratz-led company, which in just two days amassed 1380 BTC valued at $82.8 million, are part of a larger strategy to profit from market changes.
Although there has been some volatility in the price of BTC over recent weeks, Galaxy Digital’s investment streak suggests an optimistic view. This buying behavior points to a calculated positioning to take advantage of future price increases. The over 4,000 BTC currently in the asset management company’s wallet positions it as the second-largest corporate Bitcoin holder in the world after MicroStrategy.
What is Next for Bitcoin’s Price?
Despite the recent acquisitions by Galaxy Digital and the buying pressure mounted on the asset by increasing whale activities, Bitcoin has had difficulty holding onto its $60k support recently. The cryptocurrency has consolidated between $58,000 and $61,000 over the last month, according to CoinMarketCap data, with the higher mark serving as crucial resistance. The market has shown resilience to this volatility, as evidenced by the notable purchasing demand observed at lower price points.
Moreover, market analysts continue to be optimistic about Bitcoin, pointing to both macroeconomic and technical aspects. K33 Research’s most recent data points to an impending short squeeze brought on by negative permanent financing rates, which raises the possibility of a significant BTC price increase.
Additionally, Expert trader Peter Brandt spots a megaphone pattern on the charts that points to potential volatility and large price movement. Meanwhile, Bitcoin traded at $59,350 indicating a 2.24% decline in the last 24 hours. Also, its trading volume dropped by 3.62% to $26.9 billion.
