Retail investors could be making a steady return to the crypto market after a notable upward trend in the number of daily new addresses being created, an intelligence platform has speculated.
In an Aug. 8 post on social media platform X, market intelligence platform IntoTheBlock said that recent data on Bitcoin “new addresses” could suggest renewed interest from retail investors.
“Since November 2023, the number of daily new addresses has trended downward, a bearish signal indicating fewer new participants, particularly on the retail side,” it said.
“However, the trend seems to be shifting, with the number of new addresses trending upward in more recent weeks.”
According to the crypto analysis platform Glassnode, the number of new addresses for 2024 hit a low of 203,536 on June 7.
But since the start of August, the number of new Bitcoin (BTC) addresses has hovered between 286,000 at the lowest and 337,000 at the highest.
“This shift suggests renewed interest from retail investors, potentially leading to a more balanced market and a stronger foundation for the next growth phase,” IntoTheBlock said.
Bitcoin “death cross” before super rally
On Aug. 5, BTC prices experienced double figures losses, falling to $49,221, according to CoinGecko. The price has already shown signs of recovery, though, reclaiming over $62,000 on Aug. 8.
ITC Crypto founder Benjamin Cowen said in an Aug. 8 post on X, in his view, the market may be entering a death cross.
He thinks its “durability” will likely depend on the price surpassing $62,000 and then holding “it as support as it did in 2023.”
Related: Bitcoin ‘real bull run’ out of reach as retail demand metric hits 3-year low
“If it fails to hold as support like 2019, then the slow grind down continues until a sufficient pivot from the Fed IMHO,” he said.
A death cross occurs when the 50-day simple moving average (SMA) of an asset’s market price falls below the 200-day SMA.
However, Bitcoin analyst Timothy Peterson stated that a death cross may nobe “so deadly.”
“Bitcoin faces an imminent Death Cross where the 50-day average crosses below the 200-day average,” he said.
“This has happened only 8 times since 2015. What happens next? 60 days later, Bitcoin was up 62% of the time.”
Magazine: Chinese boomers joining crypto tapper cults, WazirX fallout worsens: Asia Express
