CryptoQuant: Bitcoin may need $1 trillion in new capital to enter the next bull run.

Deep Tide TechFlow news, July 4th, according to CoinDesk, CryptoQuant data shows that Bitcoin has exhibited a clear trend of diminishing capital efficiency across past bull and bear cycles. The 2011 cycle saw approximately $2.8 billion in net inflows driving Bitcoin up by about 55,000%; the 2015 cycle saw about $69 billion corresponding to around 10k% gains; the 2018 cycle saw about $365 billion corresponding to around 2,000% gains; and the current cycle since 2022 has attracted about $697 billion in funds, with gains of approximately 689%.

CryptoQuant founder Ki Young Ju stated that for Bitcoin to experience another parabolic rise, it may require over $1 trillion in new capital inflows, further strengthening its position as a macro asset rather than just an ETF-driven trading asset. This trend reflects that as market capitalization expands, Bitcoin's marginal returns are naturally declining. Unless there is a larger scale of institutional capital absorption, high-multiple growth will be difficult to replicate the performance of earlier cycles.

BTC0.64%
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