Bitcoin’s recent performance has been impressive, with 69% of its holders considered long-term holders who have held the cryptocurrency for more than one year. Only 23% of holders have held it between one and 12 months, and 8% of addresses holding it for less than one month.
Despite the ongoing financial crisis, Bitcoin has crossed the critical threshold of $28,000 and is currently trading at $28,486, representing a 0.80% gain in the last 24 hours, as well as a 3.55% gain over five days and a 17.51% gain across the past month. This performance has outpaced commodities, particularly gold, which is considered “the top-performing old-guard commodity,” by nearly 10-fold in 2023, indicating that it has started its ‘super cycle,’ according to Bloomberg’s senior commodity analyst Mike McGlone.
The cryptocurrency has also added more than $200 billion to its market capitalization in 2023, while five leading banks in the United States suffered a joint loss of $108.92 billion. This highlights Bitcoin’s potential to be a viable alternative investment for those seeking to diversify their portfolios in times of economic uncertainty.
In addition, the crypto ‘Fear & Greed’ index has reached a 16-month high, indicating a strong buying sentiment. This suggests that investors are optimistic about Bitcoin’s future prospects, despite the volatility that is often associated with the cryptocurrency.
Bitcoin’s recent performance has been impressive, and its ability to withstand economic uncertainty highlights its potential as a viable alternative investment. As Bitcoin continues to make gains, it will be interesting to see how investors respond to the cryptocurrency in the months and years to come.
Glassnode, an on-chain analytics firm, has revealed that Bitcoin network activity is on the rise and is displaying patterns that are similar to early-stage bull markets. In its weekly report published on Monday, the firm stated that the asset may be entering an early bull market as the number of on-chain signals is increasing. The report noted that the Bitcoin market “appears to be shifting gears” amid turmoil within the traditional banking system.
According to on-chain data analyzed by Glassnode, Bitcoin’s monthly average transaction count has reached 309.5k/day this week. This transaction volume has hit its highest level since the asset surged to its all-time high of $64,000 in April 2021, with less than 12.2% of all days experiencing more trades than this.
The increase in on-chain activity is an indication that investors are actively trading and exchanging Bitcoin. This is a positive sign for the cryptocurrency market, as it suggests that there is growing demand for Bitcoin.
The surge in Bitcoin network activity comes at a time when the traditional banking system is experiencing turmoil. This highlights Bitcoin’s potential to be a viable alternative investment for those seeking to diversify their portfolios in times of economic uncertainty.
As Bitcoin continues to display bullish strength and its network activity rises, it will be interesting to see how investors respond to the cryptocurrency in the coming weeks and months. Despite its volatility, Bitcoin remains an attractive investment option for those seeking higher returns in a short period.