UK investment firm Abraxas Capital acquired $250M in Bitcoin ahead of Easter, while institutional confidence remains strong despite market volatility fears. Analysts predict a quieter market weekend following significant Bitcoin movements. Concerns arise over liquidity and possible volatility, particularly after recent sharp price drops in other cryptocurrencies.
Analysis of recent Bitcoin market trends indicates an uptick in acquisitions by institutional investors, notably during the pre-Easter period. London-based venture Abraxas Capital purchased 2,949 Bitcoin for approximately $250 million in a few days leading to April 19. Their latest transaction featured a $45 million purchase from Binance on April 18, as reported by crypto intelligence provider Lookonchain.
This notable investment follows Michael Saylor’s Strategy firm which added $285 million in Bitcoin at an average price of $82,618 per BTC. This trend underscores the confidence held by major corporate stakeholders despite ongoing global trade tension and tariff uncertainties, reflecting a strong institutional backing for Bitcoin.
Whales are reportedly accumulating substantial amounts of Bitcoin, having absorbed over 300% of the asset’s annual issuance. Meanwhile, exchanges are reportedly losing coins at unprecedented levels. However, analysts caution about potential volatility, as recent movements from the medium-term Bitcoin holders may prompt market fluctuations.
A total of 170,000 Bitcoin has recently been released into circulation from medium-term holders, suggesting a possible upcoming volatility spike, as highlighted by CryptoQuant analyst Mignolet. Analysts from Bitfinex address the concern, noting that significant on-chain movements during less liquid periods may not considerably affect weekend price actions due to ongoing flat funding rates.
There is a prevailing concern about the impact of weekend volatility, intensified by the recent substantial price drop of Mantra’s OM token, which witnessed a decrease of over 90% on April 13, indicating liquidity challenges in the market. Additionally, Bitcoin showed fluctuations on April 6, driven by worries from a substantial $5 trillion sell-off in the S&P 500, which further complicates the current market dynamics.
