Why Number of Small Bitcoin Holders Increasing is a Good Sign in the Mid-Term?

Bob Coiney

November 28, 2020

The number of small Bitcoin holders is rising for the past 11 years, which is a good sign that traders are conscious of the fact that they can make funds through it. 

A news article on UTODAY says that the number of Bitcoin addresses holding more than 1 BTC is constantly rising each year. While this is a good signal, it also showcases the fact that they are optimistic about the long-term growth using Bitcoin. 

The year 2020 has been for institutions that include top-notch billionaires, public corporations, institutional investors, and traders. All of them have invested in Bitcoin and have benefitted immensely through it. 

MicroStrategy acquired $425 million Bitcoin and using it as a hedge against inflation. This is commonly seen in the financial sector. Based on the net assets under Grayscale’s management, the trading volume of LMAX is vital data.

UTODAY also tweeted that the number of Bitcoin addresses holding 1 $BTC is a positive signal for the retail sentiment.

https://twitter.com/Utoday_en/status/1332283854569299971?s=20 

Since 2009, the number of Bitcoin addresses holding 1 BTC has been increasing. This trend is becoming a major point of attraction because the corrections are done where major during 2018 and March 2020.

Holger Zschaepitz, who is a market analyst, said that global stocks are ending cautiously because the investors are valuating “rapid rise and enduring pandemic.” But the cryptocurrency can stabilize quickly after crashing. 

According to a news report on Newsbtc , Bitcoin has witnessed few short-term plunges in the past week. It is crucial to note, and it has been growing by leaps and bounds. Traders have seen that when they are looking for long-term Bitcoin investors.

According to Glassnode’s “accumulation addresses” metric, the number of addresses having more than two incoming transactions has been active over the past seven years, and have never spent BTC, are on the rise.

The second sign is medium size whales; accumulation trends are increasing in recent weeks. Bitcoin has witnessed massive inflows of purchasing pressure from investors over the few months, indicating their faith in cryptocurrency.