Glassnode: Retail Investors Buying BTC Amid Lower Prices
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| Glassnode: Retail Investors Buying BTC Amid Lower Prices |
▫️Bitcoin price hit a two-week low, which influenced buying interest among retail investors.
▫️ Over the past seven days, the price of bitcoin has dropped by 9.8%, showing the largest drop in one week since mid-March. On Monday, a two-week low of $ 8,630 was recorded, and now bitcoin is trading at $ 8,773, showing an 11% decrease in value compared to the maximum price since the halving of $ 9,960, recorded on May 18.
▫️ Despite the fall in price, the number of addresses containing a small amount of BTC continues to grow. The number of addresses that hold at least 0.01 BTC has grown to a record high.
▫️According to Glassnode, the number of unique addresses with at least 0.01 BTC rose to 8,478,746 on Sunday. At the same time, the number of addresses from 0.1 BTC and more also rose to a record level of 3,053,004 addresses last Friday.
▫️ Despite the fall in price, the number of addresses containing a small amount of BTC continues to grow. The number of addresses that hold at least 0.01 BTC has grown to a record high.
▫️According to Glassnode, the number of unique addresses with at least 0.01 BTC rose to 8,478,746 on Sunday. At the same time, the number of addresses from 0.1 BTC and more also rose to a record level of 3,053,004 addresses last Friday.
▫️ “Retail investors are probably in the accumulation phase,” said Ki Young Ju, CEO of research firm CryptoQuant.
▫️However, the growth in the number of addresses with a small amount of BTC does not necessarily mean that a large number of new users enter the industry, since one investor can store BTC in several places.
▫️In addition, the growing interest in cryptocurrency among retail investors is unlikely to have a big impact on the price, as the market is still dominated by big players - "whales". According to Glassnode, the number of addresses containing over 1,000 BTC and 10,000 BTC has dropped over the past two weeks.
Moreover, the activity in the options market suggests that a more serious drop in Bitcoin may occur in the near future. “Traders buy put options at a loss,” said Chris Thomas, head of digital assets at Swissquote Bank.
▫️ A put option is a bearish bet on a cryptocurrency, and a call option is a bullish one. A loss-making put option has a strike price that is below the market price of the underlying asset. Thomas expects bitcoin price to enter the $ 8,000 - $ 8,200 range in the short term.
▫️In addition, the growing interest in cryptocurrency among retail investors is unlikely to have a big impact on the price, as the market is still dominated by big players - "whales". According to Glassnode, the number of addresses containing over 1,000 BTC and 10,000 BTC has dropped over the past two weeks.
Moreover, the activity in the options market suggests that a more serious drop in Bitcoin may occur in the near future. “Traders buy put options at a loss,” said Chris Thomas, head of digital assets at Swissquote Bank.
▫️ A put option is a bearish bet on a cryptocurrency, and a call option is a bullish one. A loss-making put option has a strike price that is below the market price of the underlying asset. Thomas expects bitcoin price to enter the $ 8,000 - $ 8,200 range in the short term.