BTC ‘wholecoiners’ surge by 13,000 in 7 days — what it could mean for the oldest cryptocurrency

view original post

These are hard times for Bitcoin. The world’s oldest cryptocurrency has fallen tremendously in the last couple of months. It is currently trading at $21,093 — which is less than one-third of its $69,000 all-time high from November 2021.

However, many investors see the crash as an ideal time to buy the dip.

According to Cointelegraph data pulled from Glassnode, BTC ‘wholecoiners’ rose by 13,091 in the last seven days. Wholecoiners are wallet addresses that contain 1 BTC or more.

With this latest increase, the total number of wholecoiners has climbed to 865,254. The same number was hovering around 830,000 at the end of March 2022. This is an indicator that people are accumulating BTC despite the downward price action and that investors still have faith in the legacy coin.

A sharp uptick in wholecoiners has been observed since Bitcoin breached the psychological support level of $30,000. The first time this happened was on May 11, 2022, and more than 14,000 wholecoiners have hopped on to the Bitcoin bandwagon since then.

Also Read:

According to the same Glassnode data, the number of wallets adding 0.1 BTC ($2,000) or more has also increased sharply in the last ten days.

“This is good for the ecosystem that it’s growing from the ground up because

While wholecoiners showing increased activity is definitely a good sign, another important factor that can offer some insight into the future is Bitcoin’s 200-week Moving Average (MA). Historically, the Bitcoin price has bounced back and taken off every time it has hit the 200-week MA. It happened in 2015, 2019 and 2020, as visible in the graph below:

Currently, the price has just breached the 200-week MA. If previous patterns are to be believed, the price of BTC should see a similar bounce-back movement soon. At the very least, it is unlikely the price will remain below this level for a prolonged period.

However, in stark contrast, users with over 100 BTC in their wallets have reduced by 136 since May 11, 2022. It could be an indicator that some Bitcoin whales are looking to cut their losses amid the crypto meltdown. As such, there are mixed signs at the moment, and it might just be wiser to wait and watch.