Large holders of the first cryptocurrency on January 11 did not succumb to panic amid the recent drop in quotations and increased their positions. This is indicated by data from Glassnode.
The number of bitcoin addresses holding more than 1,000 BTC rose to a new record (2,140) amid a price dive from $ 38,250 to $ 30,400 and the liquidation of positions in the derivatives market by $ 1.49 billion. The volume of exchange trades a day earlier exceeded the peak levels of 2017.
The growth in the number of bitcoin whales in such circumstances indicates the confidence of large investors in the short-term nature of the correction. In previous bullish cycles, gains were often accompanied by pullbacks of 20% or more. The current growth phase is fueled by institutional investment. This is in contrast to the 2017 situation, when it was gripped by a retail craze.
According to Glassnode, the number of whales has grown by 25% over the past year. In particular, the indicator has increased by 200 addresses over the past two weeks.
During the recent correction, the number of addresses holding less than 0.01 BTC decreased slightly. This could signal the withdrawal of some retail investors from the market.
According to Glassnode CTO Rafael Schulze-Kraft, a short-term pullback in quotes should not affect confidence in the long-term growth of the first cryptocurrency. The expert believes that new highs in a number of fundamental indicators keep the signal to hold coins.
Active addresses: ATH
Active entities: ATH
Hash Rate: ATH
Number of whales: ATH
Illiquid supply: ATH
Non-zero BTC addresses: ATH
Don’t let short-term $ BTC price action distract you.
Fundamentals are strong.
The network is healthy.
– Rafael Schultze-Kraft (@ n3ocortex) January 11, 2021
In early December, Rafael Schulze-Kraft suggested that the price of bitcoin could rise above $ 200,000.
Earlier, billionaire Mark Cuban expressed confidence in the ability of bitcoin and some altcoins to pass the “market bubble”.