The recent surge in Bitcoin’s price has led to an increase in the number of new daily “millionaire” wallets, reaching around 1,500. However, this growth is still overshadowed by the number of new millionaires created during the previous bull run. According to a report from Kaiko Research on March 11th, the number of new daily Bitcoin wallets worth a million dollars or more was as low as 500 in January but is now approaching 2,000.
During the last bull run in November 2021, when Bitcoin reached its previous all-time high of $69,000, over 4,000 wallets were becoming millionaires daily, with an additional 2,000 wallets reaching $10 million each day. Kaiko noted that despite the recent surge in price, on-chain Bitcoin whales are experiencing a slower return.
The current number of new daily Bitcoin millionaires is similar to the figures seen in July 2022 when Bitcoin dropped below $20,000. Kaiko attributed this slower growth to new capital not being fully deployed yet and large whales potentially taking profits as Bitcoin reached new highs. Additionally, Kaiko suggested that more whales may be storing their holdings with custodians rather than personal wallets.
The launch of spot Bitcoin exchange-traded funds (ETFs) may have played a role in this shift, as nine new US-based spot Bitcoin ETFs have accumulated over $28 billion worth of Bitcoin since their launch in January. Coinbase and BitGo are among the main custodians of these ETFs. Investors in spot Bitcoin ETFs hold shares in the ETFs rather than holding Bitcoin directly, which means that their indirect Bitcoin holdings are not reflected in the whale wallet data.
According to cryptocurrency research firm Glassnode, the number of Bitcoin millionaire wallets surged nearly 300% to 90,000 in 2022. The year 2023 saw a renaissance for Bitcoin “hodlers,” with the price increasing by approximately 160% to $42,200. Since then, Bitcoin has spiked a further 71% and is currently priced at $72,200.
Magazine: Manzi the magnificent: From millionaire at 16 to incredible IoT inventor.