The Most Untouched Bitcoin Since 2017?
After this week’s rallies and drama, bullish sentiment is beginning to sweep once more while altcoins and Bitcoin show signs of strength as bulls take charge.
Bitcoin is currently struggling to break through $9,200 at the time of writing, but despite this, cryptocurrencies have started 2020 with a bang and are already outperforming the S&P 500 in terms of percentage.
Volatility is still a major feature for digital assets. Even so, more Bitcoin and leading altcoins than ever are being held dormant…
According to reports and insights gathered by Digital Asset Data, a FinTech company that specializes in cryptocurrency data, over 10 million BTC has remained untouched for more than a year, resulting in the highest levels of held Bitcoin since 2017.
Insights from the data suggest that the second half of 2018 saw an uptake in cryptocurrency accumulation, likely by larger investors and contrarian retail investors seeking an alternative investment outside of the fiat-driven options that are available, such as bonds, the stock market, pension funds, and savings accounts.
Another variable in this interesting data is that the strongest-willed investors are potentially just holding at a loss and waiting for the opportunity to sell at break-even prices!
“Many investors are potentially still underwater with bitcoin that was purchased at higher prices in 2017 and 2018.” – Kevin Kaltenbacher, Digital Asset Data
Not just Bitcoin is undergoing rampant accumulation, as we reported earlier this week that over half of the circulating supply of Litecoin is dormant, while record levels of Ethereum holdings have been increasing at a rapid rate since the 2018 bear market.
The mass purchasing of some of the biggest digital assets highlights that the biggest players in the space are quietly bullish despite news stating the opposite on numerous occasions. The upward trend since the start of 2019 could only be the beginning, with contrarian investors outperforming all other traditional asset classes.
This post is for educational purposes. All information used is referenced accordingly. This is not investment advice; please always do thorough research and only invest what you are willing to lose, especially in times of uncertainty.