Bitcoin’s price performance over the past week has been a source of concern for most of the crypto community. This has largely been the case for other cryptocurrencies on the market, with several large-cap tokens reversing their recently accumulated profits.
However, some investors are treating the recent price decline as a rare opportunity in the bull market as they continue to load their bags with goods of their choice. Specifically, the latest on-chain data shows significant buying activity among a certain class of investors.
25,000 BTC flows to accumulation addresses in one day
Prominent crypto expert Ali Martinez revealed, through a post onthat more than 25,000 BTC (valued at approximately $1.6 billion) were transferred to accumulation addresses on Friday, March 22. This number represents the largest amount transferred to these wallets in a single day so far in 2023.
The metric of interest here is the Entry for accumulation addresses on the Bitcoin blockchain. For context, a Bitcoin accumulation address refers to an address that has no outgoing transactions and maintains a balance of at least 10 BTC.
A chart showing the inflows to Bitcoin accumulation addresses | Source: Ali_charts/X
This classification, however, excludes digital wallets linked to centralized exchanges and miners and have less than 2 non-dust inbound transfers. Additionally, it does not include addresses that have not seen any activity in more than seven years.
The increased flow of coins to this class of wallet addresses is evidence of substantial accumulation of BTC by entities that view crypto as a long-term investment. This signals that certain deep-pocketed players are accumulating Bitcoin in anticipation of potential appreciation in value.
Furthermore, this significant acquisition by long-term investors emphasizes the growing adoption of Bitcoin as a store of value. However, it may be an indicator of upward price movement in the short term.
Bitcoin Price Overview
At the time of this writing, Bitcoin is valued at $64,636, reflecting a price increase of just 1% in the last 24 hours. This price change is somewhat insignificant considering the major cryptocurrency’s deep pullback earlier in the week.
According to data from CoinGecko, the price of BTC fell 2.4% last week. Meanwhile, the market leader is currently about 13% away from its all-time high of $73,798.
However, it was a positive overall performance for the Bitcoin price in March, having surpassed the previous all-time high of $69,000 just over a week ago. And, with a market value of US$1.26 trillion, BTC maintains its position as the largest cryptocurrency in the sector.
The price of Bitcoin struggles to hold above $64,000 on the daily timeframe | Source: BTCUSDT chart on TradingView
Featured image from iStock, chart from TradingView
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