Bitcoin in 2024: Record Growth in Wallets and Corporate Investments

Bitcoin addresses and corporate investments hit new highs, signaling widespread adoption.

Bitcoin adoption is accelerating rapidly in 2024, driven by both individual users and increasing corporate interest. Over 52 million Bitcoin addresses now hold positive balances, marking a record high for the cryptocurrency. Additionally, large holders, especially those controlling between 100 and 1,000 BTC, are steadily accumulating, highlighting Bitcoin's growing appeal as a long-term asset.

Recent data from Glassnode indicates that non-zero Bitcoin addresses have seen steady growth throughout 2024, with a significant uptick from May through September. This trend persisted despite Bitcoin’s price fluctuations, which fell from a high of $70,000 to under $60,000 following the Bitcoin halving event in April. The continued rise in wallet addresses reflects increasing adoption by retail users and smaller investors, suggesting broader mainstream acceptance.

Meanwhile, large holders, often seen as a barometer of institutional confidence, are increasing their stakes in Bitcoin. According to IntoTheBlock, wallets holding 100 to 1,000 BTC now control over 20% of Bitcoin's circulating supply. This marks a 5% increase in the last six months, underscoring a strong accumulation trend among high-net-worth individuals and institutions. These investors now hold approximately 4.01 million BTC, up from 3.82 million BTC in early 2024.

Corporate interest in Bitcoin is also on the rise, with many companies exploring Bitcoin as a treasury asset. River, a Bitcoin technology firm, estimates that 10% of U.S. companies could allocate 1.5% of their cash reserves to Bitcoin within the next 18 months. This shift could add an estimated $10.35 billion to corporate Bitcoin holdings. River’s forecast is based on Bitcoin’s growing liquidity, with daily trading volumes exceeding $10 billion. Additionally, regulatory clarity, such as the Financial Accounting Standards Board’s (FASB) decision to allow fair-value accounting for Bitcoin starting in December 2024, is making it easier for companies to hold the asset on their balance sheets.

Projections from River suggest that corporate Bitcoin holdings could increase by 204 to 519 BTC per day through 2026, potentially translating to daily investments of $12.2 million to $31.1 million at current Bitcoin prices. As of September 2024, public companies and institutions held over 683,000 BTC, a 587% increase from mid-2020, signaling Bitcoin’s growing acceptance as a financial tool.

Despite occasional volatility, the increasing number of non-zero Bitcoin addresses and growing corporate adoption signal that Bitcoin is maturing as an asset class. Both retail investors and large institutions are continuing to see Bitcoin as a valuable asset for hedging against economic uncertainty and inflation. This trend, coupled with regulatory advancements, suggests that Bitcoin’s role in the financial ecosystem will only continue to expand in the coming years.

photo source / Blockonome