Report: Whale is accumulating Bitcoin after the collapse of last month

Bitcoin has seen some notable underlying growth over the past week - according to chain data - that appears to have appeared in tandem with the climb to the $ 7,000 region.

Major players in the cryptocurrency market - often referred to as whales - are also fueling this fundamental growth, seemingly actively buying huge reserves during the post-market crash between March.

The confluence of these factors seems to indicate that Bitcoin has some noticeable fundamental strength at this point and may also mean its short-term outlook is optimistic.

Bitcoin sees chain cohesion as the market grows

According to one report In recent weeks from Glassnode research and analysis platform, Bitcoin has witnessed some notable underlying growth during the past week, as indicated by transaction volume and increase in active entities. .

In the report, Glassnode noted that the adjusted trading volume has increased by more than 23% in the past week.

This increase in volume comes along with Bitcoin price, which has risen from as low as $ 6,700 to a high of $ 7,500 - that's where the cryptocurrency found some significant resistance causing its price to drop. area less than 7,000 dollars.

Just as Bitcoin is currently trading up from the beginning of the year, the cryptocurrency has also seen a significant 38% increase in trading volume since January 1, indicating a higher market participation rate. between investors.

BTC whales entered accumulation mode after recent volatility

Part of Bitcoin's increased trading volume seen over the past week may have stemmed from the accumulation from whales on the big market, data showing that the number of entities of more than 1,000 BTC has greatly accelerated during the period. time after Bitcoin collapsed to $ 3,800.

The increased number of whales (i.e. entities with at least 1,000 BTC) led to a market crash last month, and accelerated during and after the crash. This suggests that players on the larger market are accumulating BTC, providing an optimistic sign, the research firm noted.

It is important to note that there has not been much accumulation from whales since the beginning of 2016, which is also the period when Bitcoin witnessed the halving event.

This has led Glassnode to conclude that major players are anticipating Bitcoin will see an impending price surge in the near future, likely driven by the halving-induced inflation.

This trend implies that although the market environment is uncertain, whales are still confident that now is a good time to accumulate BTC, showing that they believe that there is more room for growth, they have conclude.

Do Phu

According to AZCoin News

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