Bitcoin Holders Believe In More Bullish Price In Upcoming Days.
2021-03-22 | Mike Hallen
Bitcoin [
BTC] liquid supply continues to shrink, with solely 36% of circulating BTC being shifted on-chain
within the past 6 months.
In line with recent data shared by on-chain cryptocurrency data aggregator
Glassnode on 21
st March,
the height of the 2017
market saw 50% of Bitcoin’s supply circulating within the preceding 6 months.
The data outlined that few long-term investors are tempted to sell their Bitcoin at the present price levels, suggesting Bitcoin’s whales are holding for higher prices
and therefore the ongoing bull-trend could have much further
to travel from here.
Comparing the age of BTC moved on-chain may offer some insight into market sentiment. When prices hit new peaks
it's natural that older coins
are going to be sold for profit, but that trend appears to be decreasing - suggesting that investors would rather hold on to their assets.
The present supply of BTC
is 18.66 Mln or 88.85% of the 21 Mln limit.
It's also been
reported that around a fifth of all BTC has been lost or stolen, suggesting
the particular circulating supply of Bitcoin
might be considerably lower, bolstering the scarcity of the asset.
Glassnode data
shared by popular cryptocurrency analyst Willy Woo on the same day also revealed significant on-chain activity while Bitcoin’s market cap has been over $1 trillion, with 7.3% of BTC’s supply changing hands while the asset has boasted a 13-figure market cap.
The data, which illustrates UTXO Realized Price Distribution [URPD], tracks Bitcoin’s unspent transaction outputs at different prices. Woo explained:
“This is pretty solid price validation; $1T is already strongly supported by investors. I'd say there is a sporting chance we'll never see Bitcoin below $1T again.”
“URPD
is a lens into price discovery by showing
the worth when coins last moved to assume they were purchased by investors,” he explained.
Moreover, Woo added that on-chain coin movements
don't always indicate active trading, with exchanges regularly shifting their virtual assets internally.
Leave a comment
Your email address will not be published. Required fields are marked *
