Bitcoin Dips Near $37K, Here’s a Long-Term Positive Sign per IntoTheBlock: Details

article image

Tomiwabold Olajide

Track live crypto price of 10000+ coins!

Bitcoin long-term holders have been unfazed by the recent price drop per IntoTheBlock

As per CoinMarketCap, Bitcoin presently trades near $38,500 after dipping to intraday lows of $37,215 on Coinbase. Ethereum, alongside the majority of altcoins, was posting a rebound as of press time. Terra (LUNA) and Shiba Inu (SHIB) were outperforming the top 20.

Bitcoin long-term holders, according to IntoTheBlock, have been undeterred by the recent decline, which remains a positive sign. Short-term investors, on the other hand, remain the primary source of BTC volatility.

The balance held by short-term traders or addresses that have held BTC for less than a month is moving practically in lockstep with the price activity, according to the on-chain analytics firm. These addresses have reduced their holdings by 8.7% in the last seven days, reaching 1.55 million BTC. Bitcoin’s price has dropped 11.59% in the last seven days, according to CoinMarketCap data.

Bitcoin On-Chain Signals, Source: IntoTheBlock

According to IntoTheBlock’s holder composition by time held, the majority of Bitcoin holders are long-term investors, with 57% holding for more than a year. Only 7% have held their tokens for less than a month, while 36% have retained them for more than a year.

Related:  This is what India's crypto-sector needs more than anything

Why do long holders seem unfazed?

According to U.Today, Zhu Su, the CEO of Three Arrow Capital, has offered his thoughts on Bitcoin investors’ present behavior and compared it to the last cycle in 2018.

Su Zhu attributes the shift in investor behavior to the negative experience that some traders may have had as a result of selling cryptocurrencies too soon between 2018 and 2019—when it was trading at its lowest point.

The crypto market entered a bull run in Q4, 2020, which lasted until November 2021. Bitcoin and other cryptocurrencies grew by leaps and bounds as a result of the rise.

Download MAXBIT Android App, Your best source of all crypto news!

Google Play

Source link

Share this article: