Driven by the uncertainty surrounding Evergrande risk-off, long-term bitcoin holders sold. However, price action and on-chain data proved broadly resilient, according to Glassnode analysts.
As #Bitcoin markets experiences further downside volatility, Long-term Holders are strategically spending coins.$BTC exchange balances continue to see strong outflows, and the #Bitcoin Thermocap surpasses a $30B valuation.
Read more in The Week On-chainhttps://t.co/n3KltbNmHa
— glassnode (@glassnode) September 20, 2021
As Bitcoin rose from $31,000 to $52,000 by the end of July, bitcoin investors were taking profits from selling BTC at about $1 billion per day. However, this could not derail the uptrend, supported by strong aggregate demand.
On September 21, analysts revised the data. They estimated that net realized losses over the last 24 hours totaled $650 million — the highest since July 24.
#BTC Net Realized Losses for today were $650 Million
Biggest loss realization event since we were at $34k
With this in mind lets look at SOPR.. pic.twitter.com/Ii9IwJWyXc
— Permabull Niño 🐂 (@PermabullNino) September 21, 2021
An ‘age-based’ analysis shows that by the end of August selling intensified among users who held the asset for more than six months. After volatility in the last two weeks, accumulative behavior again became typical for them.
In terms of exchanges, the largest outflows are seen at Bitstamp, OKEx, Huobi and Coinbase.
Balances held by miners continue to rise. Analysts noted that accumulation is occurring more vigorously than in the previous market cycle.
Associated with miner addresses, selling was observed in January–February 2021, after which their balance grew by 14,000 BTC over the next six months. At the end of August they logged a one-off outlay of 1,360 BTC, which did not presage a trend change.
Recall, Delphi Digital analysts suggested that until the September 24 expiry the market is expected to see heightened volatility the market is expected to see heightened volatility.
Earlier, Glassnode analysts concluded that the sharp price retracement on May 7, driven by liquidations in the crypto-derivatives market, did not shake long-term investors’ willingness to hold the coins they had acquired.
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