Crypto News

Bitcoin Surges Above $45.3K: Insights Into Recent Market Dynamics

Bitcoin has surged above $45.3K for the first time since the ‘ETF hangover’ retracement began on January 12.

This increase can be attributed in part to the rise in the number of wallets holding over 1,000 BTC, which now account for over 40% of the total supply. In just 4 weeks, these wallets have accumulated 1.03% of the entire BTC supply, reaching their highest level in over 14 months.

Approximately 3 million addresses have purchased nearly 1.50 million BTC within the $41,800 to $43,080 range, establishing this as a crucial support zone for Bitcoin. Moreover, the number of new whales holding 1,000 BTC or more has increased by 3.66% in the past two weeks, with around 73 new whales joining the ranks.

Whales Withdraw Huge Amount Of Bitcoin From Exchanges Before The Pump

Recent on-chain reports have identified three new wallets withdrawing a total of 2,741 BTC ($118M) from Binance just before the price surge. Additionally, data from 10x_Research indicates that buying BTC three days before the Chinese New Year and selling it ten days after the New Year results in an average return of +11%.

However, as of February 7, Grayscale has further reduced its holdings by 2,565 BTC ($110.6M), while eight ETFs have added 2,384 BTC ($102.8M) in total. Notably, iShares (Blackrock) added 1,048 BTC ($45.2M) to their holdings.

These developments underscore the dynamic nature of the Bitcoin market, with fluctuations driven by various factors including on-chain activity, investor sentiment, and institutional participation. As Bitcoin continues to navigate through market cycles, monitoring these trends provides valuable insights into its trajectory and potential opportunities for investors.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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Image Source: lmv/123RF // Image Effects by Colorcinch

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