Bitcoin Whales Surge to 17-Month High Amidst Retail Uncertainty
Bitcoins present market dynamics show its largest holders have made a bold move. According to Santiments data, Bitcoin whales are now taking more interest in the network. Just in the past month, the net addition of 283 wallets, each with at least 100 BTC, has been recorded.
This brings the total to a record 16,120 wallets. This is the all-time high in 17 months, which is a sign that the significant investors are not concerned about the recent fluctuations in prices.
Bitcoin Investor Behavior Post-March ATH: Holding or Exiting
A Glassnode report sheds light on this phenomenon further. After the Bitcoins all-time high in March, the market has been moving in a choppy price situation. This situation has led to a large part of Bitcoin supply being kept in the 3-6 month age bracket.
In the past, this age group reached a maximum right after the main market peaks, usually during the next corrections. The investment of this kind is a dilemma for investors: either to HODL during the ups and downs or to exit with a loss.
Currently, the coins aged 3-6 months now represent over 12.5% of the circulating supply. This trend is similar to the behavior of the market during the mid-2021 sell-off and the 2018 bear market.
In-depth analysis supply of 3-6 months shows that while many coins are held constant, there is a significant increase in loss events since July. The loss in the total supply held in this age band signals that some investors are giving up and this is similar to the past major market turning points. Conversely, coins within this bracket that are retained are nearing LTH status, implying they are less likely to be spent soon.
This transition is additionally explicated via the URPD metric which marks the Long-term Holders and Short-term Holders. The data obtained recently suggests that more than 480000BTC purchased at current prices are now categorized as LTH reflecting the unrealized losses.
This further confirms that the holding of the long term is becoming more and more popular. Alongside that, the perpetual swap markets disclose a cutback in speculation trading. Liquidation volumes are falling down sharply from the peak level in March indicating that there is a decrease of the demand for speculation.
However, the inverse relationship between price volatility and net liquidation volumes suggests the reverse. There are clear cycles in the trader-actors speculative activities, as well as clear trends toward an increase or decrease in speculative interest.
Related Reading | XRPs 7-Year RSI Trendline Break Could Ignite Massive Surge
Read more: https://www.tronweekly.com/bitcoin-whales-surge-to-17-month-high/
Text source: TronWeekly
