bitcoin BTC
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The price continued to trade above $43,000 on Tuesday, following a rally that has lifted the digital asset by more than 10% over the past week.
The largest digital asset by market capitalization rose more than 0.5% in the past 24 hours and was trading at $43,507 as of 12 PM ET, according to The Block data.
According to Glassnode analysts, the majority of long-term Bitcoin investors are reluctant to give up the coin at current prices.
The majority of Bitcoin holders “appear to be calmly riding the market wave,” according to Glassnode’s market report released on Tuesday.
Regarding the Bitcoin Supply Last Active Indicator, which measures the percentage of BTC circulating supply held for multiple years, the analysts said, “The majority of the Bitcoin holder base remains stable and the percentage of total held supply remains stable.” “The age group is just below all-time highs.”
“The overwhelming majority of supply remains firm, waiting for spot prices to rise or volatility to be motivated by consumption,” the report added.
However, analysts cited selling pressure from the one-year and two-year holder groups. “Many, but not all, of these are associated with GBTC, indicating a significant amount of older supply has been moving in recent weeks,” the analysts added.
ETF flows drive volume growth
Bitcoin spot trading volume has reached “consistently high activity following the ETF approval,” according to a K33 market research report on Tuesday.
The report added that the increase in trading volume appears to be partially due to spot Bitcoin ETF flows. Nonetheless, a significant portion of ETF flows are likely to be offset between different OTC orders without touching the spot market order book, K33 analysts added.
According to The Block’s Data Dashboard, Bitcoin’s monthly on-chain transaction volume in January hit its highest in months. January trading volume was $1.11 trillion, with almost two days left in January. Bitcoin on-chain transaction volume has been steadily increasing since September 2023.
The price of Bitcoin exceeded $43,000. Image: Block.
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