While Ether (ETH) and Binance Coin (BNB) gained less than 3% in the last seven days, a handful of mid-cap altcoins managed to gain 20% or more such as Solana (SOL) and Terra (LUNA). ).
Futures contracts indicate that the seven-day cumulative funding rate is positive for Bitcoin, Ether, Solana, and XRP. This data indicates a greater demand from buyers but it is far from being excessive.
Blockchain metrics, known in the cryptocurrency market as on-chain analysis, suggest long-term incumbents, so-called HODlers, dominate the market, says GlobalBlock analyst Marcus Sotiriou. This is because data from Glassnode shows that the outflow of bitcoins from cryptocurrency trading platforms in the last 30 days is almost 100,000 tokens, “which indicates that a strong historical accumulation is taking place.”
“When this has happened in the past, it has often led to tremendous spikes,” explains Sotiriou. IG Markets experts also corroborate this view and stress that the uptick in capital outflows from cryptocurrency brokers occurs at times in the market when “Bitcoin recovers from downward pressure and experiences strong buying interest”.
According to Glassnode, “a number of large buyers have sparked renewed interest in bitcoin as collateral.” “The calls prawns (accounts with less than one bitcoin) and whales (more than 1,000 bitcoins) they are leading the widespread accumulation of coins, together with the Luna Foundation, which added more than 21,000 BTC to its balance in nine days”, they affirm.
Added to this is previous data from Glassnode showing that “the Proportion of Money Supply Over 1 Year Old Rushes Fast to New All-Time Highs”. As they explain, “the coins that accumulated during the bull market of the first half of last year 2021 are still stored under the shelter of their investors without being spent.” “It is generally something that indicates that investors maintain a firm conviction in the asset, and this despite all the geopolitical complications of the macro environment,” these observers add.
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Source: Ambito
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