Corporate execs sell stocks as Bitcoin nears 130% YTD returns
As Bitcoin continues to hover above $100,000, corporate executives are selling their shares at unprecedented levels.
According to Financial Times data shared by Kobeisi's letter in a December 12 X post, the ratio of corporate executive stock sales reached a new all-time high of six sellers to buyers.
“Corporate executives are now selling their stocks at record levels, with the ratio of sellers to buyers hitting 6x.”
Corporate executive stock sales peaked. Source: The Kobeissi Letter/Financial Times
The record amount of sellers in the traditional stock market comes after Bitcoin (BTC) broke the record high of $100,000 set on December 6, a milestone in crypto history.
BTC/USD, 1 year chart. Source: Cointelegraph
Unfazed by the growing sell-off in traditional stocks, Bitcoin's year-to-date (YTD) gains are up more than 13 percent over the past month, according to Cointelegraph data.
Related: How $100K Bitcoin Affects the Wealth Gap in the Digital Age
Bitcoin's 127% returns by 2024 outperform most traditional asset classes
Bitcoin's historic milestone of $100,000 has been seen as BTC outperforms most global assets such as precious metals and major stock market indices.
In the year On December 13, the price of Bitcoin increased by 137% YTD, while oil decreased by 0.09%, the S&P 500 increased by 28% and the price of gold increased by 29%.
BTC, Gold, Oil, S&P 500, YTD Chart. Source: TradingView, Cointelegraph
Spurred on by improving macroeconomic conditions and interest rate cuts in Europe and China, Bitcoin rallied in 2018. It could breach $160,000 by 2025, leaving it more than 60% above its current price tag, according to a Matrixport report.
However, the US Federal Reserve's interest rate decision on December 18 could have a significant impact on Bitcoin's performance for the rest of the year, Bitfinex Head of Derivatives Jag Kooner told Cointelegraph. “If macroeconomic conditions such as rate cuts and institutional adoption remain favorable, Bitcoin could end the year at record-breaking levels,” Conner said.
However, a potential correction to $70,000 could be in play before Bitcoin's cycle high in 2025.
Based on Bitcoin's correlation with the Global Liquidity Index, Bitcoin's price will reach a “local high” of $110,000 in January before undergoing a temporary correction in February 2025 before the end of the bull cycle.
RELATED: Bitcoin Prints 40% Monthly Candlestick As Price Passes $99K
Growing inflows into Bitcoin exchange traded funds (ETFs) are contributing to Bitcoin's revival.
Bitcoin ETF flows. Source: Sosovalue
U.S. spot Bitcoin ETFs attracted more than $4.8 billion in inflows in the 11 days prior to Dec. 12, Sosovalue data shows.
Eric Trump explains how his father moved BTC to $1M. Source: YouTube
Magazine: BTC Hits $100K, Trump Taps Paul Atkins for SEC Chair, and More: Hodler's Digest, December 1 – 7
