Large BTC holders increased holdings while smallholders reduced amid recent downturn
Wallets with 0.01-0.1 BTC showed fluctuating balances, hinting at profit-taking.
Bitcoin rose 8.91% in 24 hours despite a 17.06% weekly decline.
According to the latest analysis from IntoTheBlock, wallets holding between 1,000 and 10,000 BTC have shown assurance amid the recent downturn, steadily increasing their Bitcoin holdings even after the prices declined. In contrast, wallets holding less than 1 BTC have shown weaker hands by reducing their holdings during the recent market slump.
Wallets holding between 1,000 and 10,000 BTC demonstrated confidence during the recent dip, consistently increasing their holdings as prices fell.On the other hand, wallets with less than 1 BTC showed weak hands, with the most substantial decrease in holdings during yesterday's… pic.twitter.com/ib2bNv1YQJ
— IntoTheBlock (@intotheblock) August 6, 2024
The data indicated an alarming trend within the Bitcoin market, focusing on wallets holding between 0.01 and 0.1 BTC. The data shows that these wallets’ Bitcoin balances fluctuated over the past month.
Starting at around 272.6K BTC in early July, the balance increased to a peak of 273.4K BTC in mid-July before experiencing a slight decline towards early August. The trend between balance changes and price movements reveals a potential link between smaller BTC holders’ activity and market price shifts.
During this period, Bitcoin’s price displayed notable volatility. Beginning at around $58,056, the price surged to a peak of $68,236 before declining to $65,691 by early August. This price movement aligns with the observed fluctuations in the 0.01 to 0.1 BTC wallet category.
Source: IntoTheBlock
The decline in holdings towards the end of July may have contributed to the decrease in Bitcoin prices, potentially driven by selling pressure as prices rose earlier. These insights indicate a dynamic interplay between Bitcoin balance changes within the holding range and broader market price trends.
As of the press time, Bitcoin was trading at $55,237.43, recording a price drop of 8.91% over the past day. However, this comes after a 17.06% decline over the past week.
TradingView’s data further reveals volatility in Bitcoin’s price movement. The recent candlestick indicates a recovery from a recent sharp decline, with Bitcoin trading at approximately $55,123, up 2.05% for the day.
The technical indicators have shown a mixed outlook. Moving Average Convergence Divergence (MACD) is currently bearish, as the MACD line is below the signal line, indicating potential downward pressure.
Source: TradingView
However, the Relative Strength Index (RSI) at 30.61 points to oversold conditions, hinting at a possible reversal if buying pressure intensifies. Notably, trading volume has spiked to 1.364K, indicating increased interest at this price level.
The post Large Bitcoin Holders Increase Holdings Despite Recent Price Volatility appeared first on Coin Edition.
