According to recent data, the Bitcoin accumulation trend has transitioned from the previous trail recently. Notably, the accumulation trend score has transitioned into a balanced regime from the previous trend of heavy distribution.
Data from Glassnode, an on-chain analytics firm, as the Bitcoin prices crossed the $30,000 mark and maintained a slight grip. At such a time, investors who were heavily engaged in the activity of accumulation have come to a bit of rest. Currently, the bigger holders i.e. the dolphins and sharks are the only ones involved in aggressive accumulation.
The dolphins account for the investors who hold over a 100-500 Bitcoins while the sharks cover for 500-1000 Bitcoins. This suggests that recently, after a series of heavy accumulation across the cohorts, now only the dolphins and sharks are the only ones involved in aggressive accumulation.
Simultaneously, with the upscale in prices, the short terms holders are enjoying a bigger number of coins in profit. With the shift from $25,000 to $30,000 levels, the short terms holders are sending over 1.8 million coins to profits. This accounts for over 66.4% of the total coins under the short term holders enjoying profits.
Reportedly, this has made most of the short term holders enjoying significant profits. In total, over 96.9 coins with short-term Bitcoin holders are currently enjoying profits accounting for over 2.6 million Bitcoins.
As evident in the graph and pointed out by Glassnode’s tweet, referring to previous periods where the short term holders have been largely in profits, the analysts cite it to be a bullish sign. Citing the historical precedence, Glassnode says that the previous phases of unilateral short term holder profitability has marked a significant surge in the price actions.
In the past days, as Bitcoin prices marked an eventual surge to reach the $30,000 levels, short term holders has driving significant profits. Right before the weekend, the profits sent to exchanges by the short term holders marked a total of $62.8 million. While the short term holders have been enjoying profits in selling their assets or even holdings, the long term holders have recorded an increasing in spending in the past weeks.
Notably, with the increasing hostilities in the regulatory environment in the US, the crypto market has witnessed various movement but volatility. As reported by Todayq News, the market has been relatively stable however is a subject to change in the weeks ahead. With the low profits, the absolute value of profit and loss-taking events declined to lows not seen since the previous cycle and October 2020, totaling approximately $268 million.
Simultaneously, derivatives markets mirrored this trend, with futures trading volumes shrinking to $20.9 billion per day, as liquidity across digital asset markets continued to decline. However, despite the overall market stagnation, hodlers, or long-term holders of Bitcoin, remained active in accumulating the cryptocurrency.
Additionally, the investors have also been divided in the face of regulatory crackdown. While those in US marked an increasing uncertainty, the Asian investors showed more resilience and interest. Overall, as reported by Todayq News, the investors have continued their accumulation.