Two of the world’s largest cryptocurrencies – Bitcoin and Ethereum – have made solid moves over the last weekend breaking past crucial resistances. BTC has surged all the way to $48,000 while ETH has been trading past $3,300 levels.
As Bitcoin continues to make strong gains, its long-term holder accumulation has reached the highest level as per data from Glassnode. Furthermore, as BTC gives a weekly close above $46,000, its short-term capitulation seems to be over.
Bitcoin is 45% off the lows and Long-term holder accumulation is still at the highest level ever. pic.twitter.com/JyRZLi3KUH
— Will Clemente (@WClementeIII) March 28, 2022
Additional on-chain data shows that the Bitcoin accumulation is pretty strong at this stage. Citing data from Glassnode, crypto market analyst Dylan LeClair explains:
Bitcoin is trading at $48,000 and throughout its entire history, there has only been one other time that the percentage of supply that hadn’t moved in over a year was at this level; September 2020.
But as the Bitcoin (BTC) price approaches $48,000, we might see some short-term profit booking at this stage. To understand this, let’s take a look at the Bitcoin MVRV ratio. It shows the average Profit/Loss of Bitcoin holders who bought the coin within the last year.
As we know the BTC price has surged past $47,000 for the first time in three months since January 4, 2022. Crypto market analyst Lesia Chenko writes:
Short-term MVRV (30d) is breaking above 10%, meaning recent Bitcoin buyers are on average up 10% on their investment. Previous two times when avg P/L of short-term traders reached 10% we faced strong selling pressure (sending BTC down over 15%).
Ethereum (ETH) Whale Addresses On the Rise
The world’s second-largest cryptocurrency has shown similar volatility as Bitcoin this year. However, the Ethereum (ETH) accumulation by whales continues on the sidelines. On-chain data provider Santiment reports:
The number of #Ethereum addresses with 10k+ $ETH has grown to the largest amount (1,329) since December, 2021. This includes 40 more in just 5 weeks. There has been an evident correlation between the number of whale addresses & future price movement.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.