Key Points
- Long-term holders added 297K BTC in nine days, indicating a growing confidence in Bitcoin.
- Continued Bitcoin accumulation could potentially push BTC past $88K, possibly testing $90K soon.
Bitcoin Accumulation Trend Score Hits Year-to-Date High
Bitcoin [BTC] has seen a significant surge in demand since recovering from the recent market crash, sparking increased accumulation activity. Data from Glassnode reveals that Bitcoin’s Accumulation Trend Score has reached a year-to-date high, currently sitting at 0.43. This suggests that wallets are re-entering accumulation on a broader scale.
Despite recent price uncertainty, large investor groups, led by long-term holders (LTHs), have cautiously resumed stacking. In the past nine days, the LTH supply has increased by 297,000 BTC, a clear sign of growing confidence among seasoned investors.
Whale Activity Reinforces Accumulation Trend
Further supporting this trend, the LTH Binary Spent has dropped to 0.3 in the past week, indicating that fewer long-term holders are selling Bitcoin – a strong bullish signal. Following this trend, other market participants have also reduced their selling activities. Consequently, unspent outputs have continued to grow, reaching 3.03 million.
Whale activity has also backed the ongoing accumulation narrative. Over the past three days, Exchange Flow from large holders has remained negative, suggesting that more BTC is being withdrawn than deposited. In essence, whales are stockpiling, often seen as a sign of a potential bullish shift.
Market Stability and Future Predictions
With long-term holders and large investors accumulating, Bitcoin’s market stability seems strong as big players bet on improved performance. This optimistic sentiment often drives higher prices. If the current accumulation trend continues, Bitcoin could see a reversal in fortunes, primarily driven by organic demand.
A potential upward move could lead to a breakout from consolidation, with BTC surpassing $86,700. If momentum holds, Bitcoin could reclaim $88K and push toward the psychological $90K level. However, if short-term holders decide to take profits from recent gains, Bitcoin might correct downward, potentially dropping to $82,696.
Keeping a close eye on accumulation trends and investor activity will be crucial in determining BTC’s next direction.
