- After a long time, the price of Bitcoin (BTC) continues to trade comfortably above the $30,000 level.
- Long-term BTC investors have remained in a gradual accumulation trend by accumulating over 1.01 million BTC in the last 602 days.
- Looking at the metrics on BTC’s blockchain, it can be seen that there is a possibility of further upside due to the presence of bulls in the market.
Data on the blockchain shows that investors have been accumulating Bitcoin heavily in recent times; Should investors expect a new Bitcoin rally?
Investors Increasing Their Bitcoin Accumulations
After a long time, the price of Bitcoin (BTC) continues to trade comfortably above the $30,000 level. One significant reason for this upward trend has been the accumulation by investors over the past few months.
Despite the decrease in BTC’s price, investors have maintained their confidence in the cryptocurrency. Long-term BTC investors have remained in a gradual accumulation trend by accumulating over 1.01 million BTC in the last 602 days. This has reached a long-term investor supply of 14.47 million and has come close to the ATH (all-time high) value of 14.49 million BTC, almost 20,000 BTC.
Interestingly, BTC is seen to be in an accumulation phase before the halving. As the halving is scheduled to take place next year, investors’ expectations for the cryptocurrency have increased, leading to a high accumulation.
According to the data, Bitcoin’s journey is currently supported by multiple macro-level factors. Firstly, Bitcoin has transitioned from the distribution cycle to the accumulation cycle before the halving and has focused on the halving that will take place in spring 2024. The report also noted that Bitcoin is associated with stocks like Coinbase and has shown a 138% increase in correlation this year.
Should Investors Expect Another Bitcoin Rally?
The impact of accumulation on BTC’s price has led it to surpass $31,000. According to the latest data, at the time of writing, the cryptocurrency is trading at $31,034 and has a market cap of over $602 billion.
Looking at the metrics on BTC’s blockchain, it can be seen that there is a possibility of further upside due to the presence of bulls in the market. For example, CryptoQuant revealed that BTC’s exchange reserves have decreased. This decrease in the metric indicates that the cryptocurrency is not under selling pressure. The derivatives market also shows a bullish outlook for BTC as the funding rate is high. The number of active addresses and transactions for BTC is also increasing over time.
