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Bitcoin’s bull run this year has drawn attention not just from traders, but also from analysts watching deeper shifts behind the scenes. VanEck’s Matthew Sigel, who leads digital asset research at the firm, offered a breakdown of what he sees as the main forces fueling the price rise. From institutional buying to changes in U.S. policy, the picture is bigger than just speculation.
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Sigel says the demand from company treasuries is now outpacing ETF inflows. Over 300,000 BTC has been added to corporate balance sheets so far in 2024, more than double the total pulled in by spot Bitcoin ETFs.
While MicroStrategy and MetaPlanet remain two of the biggest buyers, Sigel points out that newer structures—like SPACs, reverse mergers, and shells—are helping traditional investment banks enter the space more aggressively. That shift has pushed Bitcoin beyond speculative trading desks and into long-term financial planning for some companies.
Bitcoin’s price swings have cooled recently, and Sigel notes that volatility dropped to around 23% in early July. That figure is among the lowest in the past ten years. For institutional investors looking to balance risk and return—especially those focused on Sharpe ratios—that stability can be a game changer.
It gives asset managers more confidence to treat Bitcoin like other portfolio assets, rather than a high-risk outlier. And that change seems to be happening now.
Spot Bitcoin ETFs have added $3.7 billion in net inflows in July alone, bringing the year-to-date total to around $16 billion. Sigel says retail investors, financial advisors, and large brokerage platforms like Morgan Stanley and Merrill Lynch are all involved, showing that adoption is spreading well beyond crypto-native audiences.
Washington is also contributing to the momentum. According to Sigel, “Crypto Week” kicked off on July 15, and lawmakers are reviewing three separate crypto-focused bills. The GENIUS Act, which targets stablecoins, has an 89% chance of passing this year based on Polymarket betting odds. The other two—CLARITY (market structure) and Anti-CBDC—are also part of the discussion.
Sigel believes this kind of policy movement shows a growing bipartisan interest in regulating and supporting the digital asset space. If passed, these bills could make it easier for stablecoins to scale and for payment systems to modernize.
Two potential interest rate cuts from the U.S. Federal Reserve could give Bitcoin and gold an extra push. On top of that, Sigel highlights how miners—who typically sell to cover costs—are holding their coins. Their balances just reached a 12-month high, suggesting confidence in price stability or growth.
Data from IntoTheBlock backs that up: only 5.2% of Bitcoin’s supply has moved in the last 30 days. That signals strong conviction from holders and a reduced amount of BTC floating around the market.