The past few days have not been a good time for Bitcoin as the price has dropped almost 15%. Yesterday, BTC closed below $ 45,000 for the first time in 22 days. Usually this creates a bearish mood.
However, this is not currently the case with Bitcoin. Although prices continued to fall, investors remained optimistic. At the time of writing, the market has made record performances in many ways.
The optimistic peaks in sentiment among Bitcoin investors
Given the poor performance this week, many think sell orders will dominate the market. However, more bitcoins are being bought than at the time of consolidation in August and last week.
At the time of going to press, the number of addresses with at least 10 Bitcoins had reached a monthly low.
Number of Bitcoin addresses with at least 10 BTC | The source: Glass knot
Usually this can be a sign that investors are pulling out of the market and selling their holdings. This month looks different, however, as the number of daily active addresses has increased by 400,000 and new addresses increased by 200,000.
Number of active addresses (green) and number of new addresses (blue) | Source: Intotheblock
This means that more bitcoins are currently being bought while the address balance is growing above 10 BTC. This is also reflected in positions on the exchange showing that around 70,000 BTC, valued at more than $ 3.1 billion, have been purchased in the past 10 days.
Bitcoin exchanges show that buying dominates | Source: Glassnode
In fact, that story hasn’t changed. At the time of writing, buy orders dominate the market with at least 4.2k BTC ($ 190 million).
Bitcoin buy and sell orders | Source: Intotheblock
No, it is still selling BTC, but it is almost negligible. Long-term owners didn’t sell as the 10-year-old offering just hit an ATH of 2.4 million BTC. Medium-term owners are also “immovable”.
They were determined to get back to HODL as the offer made over the past 3-12 months hit a 2-month low.
Bitcoin spending significantly reduced from 3-12 months | Source: Glassnode
In fact, the buying trend is so strong that the number of addresses with credit hit a 4-month high, in line with the May ATH. So it is advisable to buy Bitcoin as soon as possible.
The Relative Strength Index (RSI) is currently in bearish-neutral territory. This suggests that the price may reverse and buy now will generate high returns later.
Bitcoin Price Chart and RSI | Source: TradingView
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According to AMBCrypto