“Wholecoiner” Addresses With More than 1 Bitcoin Doubled Since 2016

The number of “wholecoiner” addresses, which refer to Bitcoin addresses that hold more than 1 Bitcoin, has doubled since 2016, according to recent data. As the adoption of Bitcoin increases and more individuals invest large amounts into the cryptocurrency, the number of these addresses is expected to continue to rise. This trend is promising for Bitcoin enthusiasts, as it shows strong confidence in the long-term potential of the digital asset.

Bitcoin Shows Scarcity, Driving Demand for the Asset

The number of “wholecoiner” addresses holding more than one Bitcoin has doubled since mid-2016 according to on-chain analytics provider Glassnode. This statistic is remarkable as there are more than 56 million millionaires in the world. With BTC trading at roughly $28,000, it will be quite some time before holding one coin will make someone a millionaire.

The scarcity of the digital asset with its finite supply has been a driver of demand. This has been clearly evident in previous cycles, catalyzed by halving events. The scarcity is set to increase as the next Bitcoin halving is due between April and May 2024. The slow grind higher is likely to continue this year if history rhymes. The real bull rally should follow the halving event and occur in the latter half of 2024 if previous cycles are anything to go by.

Glassnode has added the Bitcoin fear and greed index to its charts to ascertain market sentiment and compare it to previous peaks and troughs. The sentiment is currently in a state of “greed” following Bitcoin’s 25% gain over the past month.

Bitcoin prices have been consolidating for almost three weeks now, with very little movement since March 18. The asset has dipped 1.4% on the day in a fall to $28,094 at the time of writing. Support lies at the $27,000 level, where it fell on March 28. Longer-term resistance is at $30,000, a price not visited since early June.

Investors realize the potential to make profits by investing in Bitcoin when they see that the number of addresses holding more than one Bitcoin has doubled since mid-2016. With Bitcoin getting scarce, its demand would continue to rise, and Bitcoin halving events will catalyze them. The Bitcoin fear and greed index is in a state of greed following the recent gains. Investors should consider Bitcoin as a long-term investment and should not panic during short-term market movements.

Leave a Comment

Google News