Bitcoin’s ‘Rich List’ Continues to Snap Up Cheap Coins
10 Jun, 2021•2 min read•Bitcoin
Blockchain data shows sustained bargain hunting by large bitcoin holders despite persistent gloom and doom in the market.
The increase by long-term holders signals accumulation during the bear trend, according to blockchain analytics firm Glassnode. The data show whales and long-term holders remain confident of the cryptocurrency's prospects. Nevertheless, the cryptocurrency may see short-term losses if the U.S. consumer price index, scheduled for release at 12:30 UTC on Thursday, exceeds expectations, boosting concerns of an early unwinding of stimulus by the Federal Reserve. "Large upside scare to the [CPI] print will make the downside below $30,000 very vulnerable, and we are most concerned with that now," QCP Capital said in its Telegram channel. The impending death cross, or the bearish crossover of the 50-day and 200-day simple moving averages, is also hinting at the scope for deeper losses. At press time, bitcoin was trading at $36,300, a 3% drop on the day. Prices rose more than 10% on Wednesday, hitting highs above $37,400 even as China announced a ban on virtual-currency mining operations in Qinghai province. El Salvador's decision to adopt bitcoin as legal tender likely buoyed sentiment.