In the same way I did with Ethereum, I will analyze the data of several indicators to see structurally what differences Bitcoin had between its historical highs of 2021 and 2025.
First, I will share the general comparative table. Then I will explain with didactic conclusions what these data represent:
Clarification: In all on-chain graphs, the white line is the price of Bitcoin.
• Investment funds
The holdings of BTC in the hands of funds almost doubled (+91%), rising from 695,000 to 1,300,000. In terms of its representation in USD, the increase was greater (+244%), due to the price increase of Bitcoin, going from 48 billion to 165 billion USD. Meanwhile, the average volume traded by these institutions grew nearly tenfold (+979%), scaling from 340 to 3,600 million USD.
Conclusion: These differences between 2021 and 2025 demonstrate how during the intervening years Bitcoin began its phase of institutional adoption, driven by its arrival on Wall Street in 2024 and by the pro-crypto regulatory agenda in the United States that just started this year.
Green area = amount of BTC bought by investment funds:
Green area = institutional trading volume (USD):
If you want to have a better understanding of the transition Bitcoin experienced, I recommend reading the notes I wrote during 2023, when it was worth 27,000 USD, and 2024, when it cost 64,000 USD:
- How are Wall Street, BlackRock, Bitcoin, and artificial intelligence connected?: https://www.fin.guru/es/uncategorized/como-se-vinculan-entre-si-wall-street-blackrock-bitcoin-y-la-inteligencia-artificial
- Cryptocurrencies: Is it time to buy or sell?: https://www.fin.guru/es/economia-y-finanzas/criptomonedas-momento-de-comprar-o-de-vender-snrueg7h3a
• Deposits in CEXs
Currently, there is less supply available on centralized exchanges (cryptocurrency banks, such as Binance) than during 2021. The Bitcoin deposited there fell by 24%.
Conclusion: The low supply of BTC on CEXs creates an environment prone to fewer sales.
Purple line = amount of BTC deposited in CEXs:
• Network activity
The on-chain data shows a network with more movement in operations, although almost no changes in the number of active addresses. The number of transactions grew from 300,000 to 483,000 (+60%), while active wallets slightly decreased by 3%.
Conclusion: The use of Bitcoin's blockchain remains solid, with a higher volume of transactions despite the slight decrease in the number of active addresses.
Purple line = number of transactions made on the BTC blockchain:
• Derivatives
The open interest (amount of USD committed in the derivatives market) is now 2.55 times higher than that recorded in 2021 (+155%), growing from 15.6 billion to 40 billion USD.
The funding rate decreased by −61%, indicating a market with long and short positions that are more balanced compared to the scenario four years ago.
In terms of liquidations, long positions increased by +31%, while shorts recorded a more pronounced jump (+50%). This indicates that squeezes occurred on both sides, with greater impact on the bearish side.
Conclusion: The growth of open interest, along with more moderate funding and an increase in liquidations, shapes a derivatives market that is larger and more dynamic than in 2021. This combination raises the probability of Bitcoin being volatile, which makes prudent risk management with stop loss (a sell order that is triggered automatically upon reaching the previously defined price) indispensable when trading.
Purple line = USD committed in the derivatives market:
• If you want to see the same analysis but about Ethereum, here is the link:
- Ethereum: What differences do the indicators show between 2021 and 2025?:
Comments