Bitcoin Long-Term Holders Buy The Blood, Snatch Up 70,000 BTC
May 15 2024 - 4:00PM
NEWSBTC
Glassnode data has revealed that Bitcoin long-term holders are
taking advantage of the cryptocurrency’s lower price to
significantly increase their holdings. This accumulation further
strengthens the belief that this group of Bitcoin investors
anticipate a potential upside for Bitcoin despite its recent
volatility. Long-Term Holders Pay $4.3 Billion For 70,000 BTC
According to Glassnode, long-term Bitcoin holders who had
previously sold 1 billion BTC in the latter part of 2023 are
accumulating once again. This buying activity could be interpreted
as a potential bullish signal for Bitcoin. Related Reading:
Shiba Inu Volume Flips Dogecoin, Will SHIB Price Flip DOGE If This
Analyst’s Prediction Comes True? Traditionally, Bitcoin long-term
holders sell their holdings during peak prices and buy new tokens
during periods of correction or substantial declines. When these
seasoned investors buy cryptocurrencies during market lows, it
usually indicates their expectations of a potential rebound,
leading to profits. On the other hand, short-term holders are
known to buy cryptocurrencies during sporadic price surges, often
signaling that a cryptocurrency is nearing its peak. With
Bitcoin presently stabilizing above $61,000, long-term Bitcoin
holders probably see the cryptocurrency’s value as a prime buying
opportunity. They have recently added a staggering 70,000 BTC
valued at over $4.3 billion to their holdings. This
sentiment for Bitcoin’s potential rally is also shared by a few
crypto analysts who have predicted that the cryptocurrency would
surge to new all-time highs during the approaching bull market.
Earlier in March, before Bitcoin’s halving event, the
cryptocurrency skyrocketed above $73,000, marking a new historic
all-time high. With the bull market still on the way, Bitcoin
could see further upsides as market conditions improve and investor
demand rises. This could potentially lead to profits for long term
holders who had purchased the cryptocurrency earlier.
Moreover, the upcoming United States inflation report, set for
release on May 15, could also be another primary factor driving
long-term investors’ substantial BTC accumulation. With the US
Consumer Price Index (CPI) remaining historically high, and the
Federal Reserve (FED) unchanged rates, Bitcoin is seen as a
possible hedge against inflationary pressures, protecting
investors’ wealth against decline. Bitcoin Whales
Display Opposite Trend Reports from blockchain analytics platform
Santiment reveal that Bitcoin whales are showing an opposite trend
from long-term holders. The analytics platform noted that
Bitcoin whales appear to be taking a break from accumulating BTC,
as the number of large-scale transactions has been decreasing
significantly. Related Reading: Dogecoin Derivatives Volume
Jumps 111% As Open Interest Spikes, But What About Price? This
trend coincides with the cryptocurrency’s reduced on-chain
activities and its declining value over the past few weeks. Crypto
analyst Ali Martinez has also shared a similar report, emphasizing
that Bitcoin’s accumulation trend score is currently displaying a
value closer to zero, indicating that larger investors were
distributing their holdings rather than buying. Despite the
downtrend, Martinez has disclosed that Bitcoin’s current TD
sequential is signaling a buying opportunity and the cryptocurrency
was poised for a rebound soon. At the time of writing, the
cryptocurrency’s price is trading below $62,000, receiving a
decrease of about 6.38% in the last month, according to
CoinMarketCap. Featured image from StormGain, chart from
Tradingview.com
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