While Ethereum (ETH) has hit a new all-time high of $1439 on Tuesday, January 19, Bitcoin (BTC) seems to be strongly consolidating in the range between $35,000-$36,000. Although Bitcoin faces a strong resistance currently around $38,000, on the support side, it is holding well above $35,000.
Recent data suggest that HODLing Bitcoin is turning popular once again amid the recent price consolidation. As per popular on-chain data provider Santiment, dormant Bitcoins had started moving when the price surged above $40,000. However, after the recent correction and consolidation, these coins have once again started being dormant.
???? #Hodling #Bitcoin is becoming the trending strategy once again, after #AllTimeHigh's were made repeatedly the past couple months. Dormant coins that were being moved during the sharp rise above $40k are now… back to being dormant. Read our analysis! https://t.co/VjhARw2QEc pic.twitter.com/NX2pcCJvoC
— Santiment (@santimentfeed) January 20, 2021
This shows that HODLers are not willing to liquidate yet! Instead, they have now smart moved from profit-booking to HODLing. On the other hand, while Bitcoin (BTC) price polarization continues among traders, BTC’s address activity and trading volumes still continue to remain high.
?? There is an increasing amount of trader doubt that #Bitcoin will revisit $40,000. But according to address activity and trade volume, the long-term trend still looks plenty healthy. Keep a close eye on whether $BTC's usage rate stays propped up. ??https://t.co/trcqlDbBo4 pic.twitter.com/3nhRyQUmCL
— Santiment (@santimentfeed) January 20, 2021
The Surge In BTC Whale Accounts
As per information from on-chain data provider Glassnode, the total number of Bitcoin (BTC) addresses holding more than 1000 BTC has hit a new all-time high. The total number of Bitcoin addresses with more than 1000 BTC balance has surged past 2400 of which 164 addresses i.e. over 5% have been added so far in 2021.
Bitcoin addresses holding over 1000 BTC hit a new all-time-high.
This year alone 164 addresses got added, currently worth $6 billion. pic.twitter.com/1p4FDKlBF1
— Top Cryptocurrency Exchanges (@CryptoBounty10) January 20, 2021
Also, despite the recent consolidation, institutions seem to be silently accumulating more Bitcoins. Over the last week, the Grayscale Bitcoin Trust (GBTC) accumulated more than 25,000 Bitcoins (BTC) pouring nearly $900 million into the world’s largest cryptocurrency. This happened just at the time when Grayscale raised $700 million in funds in a single day on January 15.
