Matrixport: Current Bitcoin Rally Possibly Driven by Institutions, Retail Traders Yet to Join

On May 14th, Matrixport presented its market analysis for today. It was stated that although Bitcoin was approaching its all-time high, the trading volume of cryptocurrencies remained relatively low. This might suggest that retail traders have not yet actively participated in the current bull market. This is evidenced by the trading volume in Korea, where the market is usually dominated by retail investors. This price increase may be more driven by institutional investors and corporate buyers, while retail investors are still on the sidelines. Historically, retail investors tend to enter the market in large numbers later in the market cycle. As a result, they form the final wave of the uptrend before the market reaches a local peak, as was the case in the uptrends of February and November 2022. This pattern may repeat itself, with retail traders possibly entering the market only shortly before the next peak.