Metrics Demonstrate the Psychological Importance of the $20K Level for Bitcoin: Long-Term Holders or Hodlers have increased their stocks, and whale activity is at its lowest levels in a year and a half.
related article: He was bullied at school but now lives a lavish lifestyle thanks to trading in Bitcoin and other cryptocurrency
Image Source: Cryptocurrency Exchange StormGain
2022 was marked by two record volumesbitcoin change hands by capitulations. First, 540 thousand BTC changed hands during the day due to the decoupling of the UST stablecoin from the US dollar. The capitalization of the stablecoin at the peak reached $19 billion, and the internal coin LUNA of the Terra project reached $41 billion.
related article: Australian investor bought a 2,800sqm property in Charleville with money he earned by innovative financial tool
The second capitulation occurred at the price of $20,000, when institutional investors demonstrated a record $188 million outflow from crypto funds in June.
Image source: glassnode.com
Calm followed the storm, and the whales fell intoapathy. In the chart below, the latest surges are also associated with the collapse of UST and Bitcoin reaching $20,000, after which the activity of the largest representatives of the crypto world came to naught. With the exception of force majeure, whales traditionally increase activity as the price rises, trying to sell the maximum coins at the top of the market.
Image source: twitter.com /caue economy
At the same time, long-term holders show phenomenal endurance, as 80% of the total funds remained without movement for at least the last three months.
Image source: glassnode.com
The steadfastness of the hodlers is close to the indicatorsprevious price pits, which once again hints at the stage of formation of the bottom. The activity of both whales and small participants is at the lows, and speculators have taken a wait-and-see attitude.
However, the macroeconomic environment remainstense, and the Fed is close to raising the key rate to a record 1% since 1981. The regulator's meeting will take place on July 27. We talked about the extent of the Fed's influence on the markets last week.
Analytical group StormGain
(platform for trading, exchanging and storing cryptocurrency)
