With regulators in the US imposing more restrictions around cryptocurrency markets, and with the U.S. infrastructure bill’s crypto tax reporting provision investors seem concerned about the developments. However, a recent report from Glassnode reveals that institutional investors are not as stirred as their retail counterparts.
Despite the ongoing debate around crypto tax reporting the price of Bitcoins have jumped by over 20% in the last 7 days. Data from Glassnode reveals it is not the private investors who have been pushing the price but bigger investors responsible for large-value dollar transactions.
Coindesk reports, CheckMate, a blockchain analyst at Glassnode explaining “retail investors rarely move transactions [with values of at least $1 million] on a scale to create such dominance.”
“The rising dominance also correlates with [massive] Coinbase exchange outflows since December 2020, which we also assign to likely US institutions,” he added.
Data reveals that the percentage of smaller value transactions have dropped and that the ongoing issues have only managed to impact private and retail investors.