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Black Monday took many novice traders by surprise, especially those who thought Bitcoin could only go up. However, Bitcoin maximalists, who are devoted to HODLing, remained calm despite the wild volatility of the flagship crypto. After all, a 10% drop in a month doesn’t scare them. Meanwhile, 75% of Bitcoins haven’t moved in six months, proving that confidence is solid.
75% of Bitcoins remain stationary despite the storm
While Bitcoin is on a rollercoaster ride, and some analysts predict that another price drop is imminent, 75% of Bitcoins in circulation haven’t moved a satoshi in over six months.
A spectacular increase from 45% last week, according to Glassnode.
This voluntary inertia shows that long-term investors are holding strong, convinced that Bitcoin will eventually shine brightly. Such a reduction in circulating supply could well drive up prices if demand were to explode.
- 75% of Bitcoins have stayed dormant for more than six months
- The price of BTC dropped 10% in a month but has risen 12% over the last six months
Conversely, short-term thrill-seekers find it less amusing. More than 80% of traders who bought recently are in the red, which could trigger a wave of panic sales.
James Check, an on-chain analyst, sounds the alarm, comparing the situation to previous market crashes in 2018, 2019, and 2021.
Crypto: When Miners Pull Out All the Stops
The situation isn’t any rosier for Bitcoin miners. According to CryptoQuant, their margins have shrunk to 25%, the lowest level since January. As a result, miners are forced to sell their precious reserves to keep their operations afloat.
With rising costs and a declining Bitcoin, it’s not a party in the village.
In August, daily miner outflows reached 19,000 BTC, a number that shook even the most stoic of them. For some, it recalls periods of miner capitulation that often coincide with market bottoms.
So sure, miners are grumbling, but history has shown that these moments of stress are often followed by spectacular recoveries. The crypto journal anticipates more twists and turns.
The Bitcoin drop doesn’t scare everyone. Last June, 87% of Bitcoin holders were in profit despite the price decline. Patience and persistence, as they say.
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La révolution blockchain et crypto est en marche ! Et le jour où les impacts se feront ressentir sur l’économie la plus vulnérable de ce Monde, contre toute espérance, je dirai que j’y étais pour quelque chose
DISCLAIMER
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.
