The number of entities owning more than 1000 Bitcoins has hit a one-month low, amid the high volatility in play at the world’s most popular crypto market, as some institutional investors take off some gains.
Data obtained from Glassnode reveals that the number of wallets holding 1000 Bitcoins just reached a 1-month low of 2,266.
? #Bitcoin $BTC Number of Addresses Holding 1k+ Coins just reached a 1-month low of 2,266
View metric:https://t.co/cjV0krRVgK pic.twitter.com/pLlp1tjTqV
— glassnode alerts (@glassnodealerts) March 21, 2021
However, it’s key to note that as the world’s most popular crypto made a new high, traders expected some form of price correction, and that’s why there is a significant amount of market volatility, with sellers and buyers trying to take hold.
At press time, Bitcoin traded at $57,371.04 with a daily trading volume of $51 billion and is down 2.28% for the day.
READ: Bitcoin’s market value can reach $600 billion – JP Morgan Chase
Nikolaos Panigirtzoglou, a renowned market expert from JP Morgan, in a report, points out why Bitcoin bulls seem to be suffering from exhaustion as the flagship crypto retail investors have picked up the slack amid an apparent plunge in institutional inflows so far this quarter.
According to data released by JP Morgan Chase, retail investors bought about 187,000 bitcoins so far this quarter, compared to roughly 172,684 by institutional investors when using Square and Paypal data as a proxy.
READ: Morgan Stanley becomes first major U.S Bank offering clients Bitcoin
That being said, in bull markets old Bitcoin tends to move more. This increases the relative supply of younger coins in the network.
- At previous Bitcoin tops, around 50% of the Bitcoin supply was younger than 6 months.
- It is currently significantly below this level (36%).
In bull markets old coins tend to move more. This increases the relative supply of younger coins in the network.
At previous $BTC tops, around 50% of the #Bitcoin supply was younger than 6 months.
We are currently significantly below this level (36%).https://t.co/D40RJ5FlAA pic.twitter.com/OIOnnChpk0
— glassnode (@glassnode) March 21, 2021
Data also showed that about 7.3% of bitcoins last moved at prices above $1 trillion. This is pretty solid price validation; $1 Trillion is already strongly supported by investors. There’s a fair chance we’ll never see Bitcoin below $1 trillion again.