As a seasoned crypto investor with a few bull and bear markets under my belt, I find the recent report by Glassnode both intriguing and promising. The news that long-term Bitcoin holders have resumed accumulation for the first time since late 2023 is a strong indicator of a potential market resurgence. This trend is further reinforced by the significant inflows into U.S.-based spot Bitcoin ETFs, which have been almost eight times larger than daily miner selling pressure.


According to a recent report by Glassnode, long-term Bitcoin holders have resumed accumulation.

I’ve noticed an unprecedented event occurring for the first time since December 2023, coming after a prolonged phase of market downturn where there was extensive selling activity.

Spot ETFs Drive Market Resurgence

As a researcher studying the cryptocurrency market, I’d express it this way: “Bitcoin hovers close to its record-breaking peak and is currently consolidating. Notably, long-term investors have started purchasing coins once more since December 2023.”

Over the last seven days, analysts have noticed a decrease in spending from certain holders, signaling a potential shift back to buying and possibly leading to market volatility as a result, potentially prompting more sell-offs.

The report highlighted several market signs pointing towards a revival in institutional buying of Bitcoin. Over the past week, there was an average daily influx of approximately $242 million into Bitcoin ETFs based in the United States.

Based on the normal mining sales of approximately $32 million per day following the Bitcoin halving, the buying pressure from ETFs stands out as nearly eight times greater, underscoring the significant influence of these financial products.

The upward trend observed in 2023-24 could largely be attributed to the influence of spot markets, as indicated by the debut and subsequent accumulation of assets in U.S. spot Exchange-Traded Funds (ETFs).

As an analyst, I’ve observed a noticeable surge in investor interest that has set off a chain reaction, leading to substantial price fluctuations across various timeframes for Bitcoin (BTC). This marks the first instance since late 2021 where BTC has experienced such notable price shifts, surpassing the 20% threshold. The responsiveness of the market to this sudden influx of capital, primarily through Exchange-Traded Funds (ETFs), is evident in these significant price movements.

Analysts highlighted the ETH-to-Bitcoin trading market as a potential indicator of a brighter future. They explained, “Given the substantial impact and sway that Bitcoin spot Exchange Traded Funds (ETFs) have held over the cryptocurrency since the beginning of the year, the ETH-BITCOIN pair could be displaying early signals of a more promising trajectory.”

Bitcoin Gains in Recent Months

As an analyst, I’ve observed that Bitcoin’s price movements have been less pronounced in the past three months compared to previous bull markets. Specifically, Bitcoin managed to secure weekly, monthly, and quarterly gains of over 3.3%, 7.4%, and 25.6%, respectively, on just five out of the last ninety days.

The analysts noted that in past market cycles, the number of days for this count ranged from 18 to 26. This implies that the present market could be exhibiting a more moderate pace compared to typical bull markets.

According to Glassnode’s analysis, Ethereum has lagged behind other major cryptocurrencies in terms of performance over the past two years, leading to a less favorable ETH/BTC ratio. Nevertheless, the recent approval of U.S. Ethereum-backed exchange-traded funds (ETFs) by the Securities and Exchange Commission (SEC) could potentially bring Ethereum and Bitcoin on par in terms of investment opportunities.

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2024-05-29 17:59