Bitcoin is seeing institutional accumulation amidst fresh gains of over 3% on Friday as its price tapped $102,000.
In fact, CryptoQuant has observed a significant Bitcoin inflow to Coinbase Prime, pointing to increased over-the-counter (OTC) trading activity. This trend suggests heightened interest from US institutions, which prefer OTC trades as a method for large-scale Bitcoin accumulation to minimize market disruption.
The alert threshold, set at an inflow value exceeding $8 billion, has been surpassed, with the current value standing at over $14 billion. This significant inflow evidences a strong institutional interest, with OTC trading playing a crucial role in facilitating these transactions.
OTC trading involves direct, off-exchange transactions between buyers and sellers, typically facilitated by brokers or trading desks. This method allows institutions and high-net-worth individuals to execute large trades with minimal impact on the market.
According to Finery Markets’ 2024 Review, the cryptocurrency OTC market saw remarkable growth, with an annual rate of 106% last year. The report stated that 2024 was a transformative year for institutional and large-scale digital asset trading, spurred by macroeconomic trends and industry-specific factors.
This includes the launch of Bitcoin and Ethereum spot exchange-traded funds (ETFs), the election of pro-crypto President Donald Trump, as well as the subsequent regulatory developments.
Meanwhile, CryptoQuant’s alert threshold was exceeded soon after Bitcoin touched $100,000 on Thursday – for the first time in 2025. This has prompted market experts to believe that the crypto asset could climb to a new ATH by late January.
After a modest correction, Bitcoin was back up and trading above $102,000 at the time of writing. This comes amidst reports of President-elect Donald Trump planning to issue an executive order making cryptocurrency a national priority soon after his Jan. 20 inauguration. The order aims to guide government agencies in collaborating with the industry and establishing a “crypto advisory council” to influence policy development.
It may also direct agencies to review existing digital asset regulations and pause ongoing crypto-related lawsuits, including high-profile cases involving Binance and Ripple Labs. Additionally, Trumps administration is considering creating a national Bitcoin strategic reserve, potentially expanding to include U.S.-founded digital assets such as Solana, USD Coin, and Ripples XRP.