On-chain data shows that the number of non-zero Bitcoin wallets reached a record high of over 40 million.
Number of non-zero balanced Bitcoin wallets hit new ATH
According to the latest weekly report from Glassnode, the number of BTC wallets holding non-zero coins has now reached about 40.16 million new ATHs.
“Number of wallets with non-zero balance” is an indicator that looks up each address on the chain and shows the number of wallets currently holding Bitcoin.
When the value of this indicator goes down, it means that investors have begun to wipe out their wallets as they withdraw from the market. This trend can be seen after crypto prices have plummeted.
On the other hand, rising indicators mean that more investors are entering the market to fill new wallets to some extent.
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Now, this is a graph showing how the number of BTC wallets with non-zero balances has changed over the last 5 years.
The value of the indicator seems to be continuing on an uptrend despite the crash | Source: The Glassnode Week Onchain - Week 5, 2022
As you can see from the graph above, the number of Bitcoin addresses holding some value has been increasing for some time and is currently setting over 40 million new ATHs.
This upward trend in indicators has continued since the record high of $ 69,000, despite the plunge in cryptocurrency prices.
This trend is different from what was observed following the top in 2017 and May 2021. There was also a wallet purge as investors withdrew from the Bitcoin market as prices plummeted.
Especially in 2017 we saw a very large exit for such a wallet, but the 2021 purge was relatively small compared to that.
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The current trend seems to be similar to the 2019 bear market, where indicators continue to rise despite falling prices.
This is a bit in the long run, as holders staying in the market despite the three-month downtrend indicate that they have more beliefs in cryptocurrencies. It could be a bullish sign of the price of the coin.
As of this writing, Bitcoin prices have risen 5% in the last 7 days and have fluctuated around $ 38.3k. The graph below shows BTC price trends over the last 5 days.
BTC's price seems to have held steady above the $38k mark in the last few days | Source: BTCUSD on TradingView
Featured image from Unsplash.com, charts from TradingView.com, Glassnode.com