Aside from a brief slump to around $35,000 in the aftermath of Ukraine’s invasion by Russia, Bitcoin (BTC) has soared to as much as $45,000 lately.
According to IntoTheBlock, investors possess more of Bitcoin (BTC), the leading cryptocurrency, since the number of addresses is dramatically growing as the price rises, signaling that retail investors are again expressing interest in the market.
IntoTheBlock particularly emphasized that “the number of traders – addresses holding <30 days, are rapidly increasing in correlation with the price appreciation of Bitcoin. These traders tend to follow the price action, and they have increased their balance by 4.2%.”
Likewise, Ali Martinez, the notable cryptocurrency trading specialist had a comparable outlook, saying that price movement has been linked to the introduction of a series of new addresses to the blockchain, which he believes reflects positively on further Bitcoin (BTC) surges.
“The recent price action that BTC has seen is supported by a spike in the number of new addresses joining the network. Further increase in network growth could lead to further price gains for BTC,” highlighted Martinez.
Additionally, as per recent information, the number of Bitcoin (BTC) daily active addresses (DAAs) is continuing to increase. It is also important to keep in mind that DAAs are frequently used as a critical indicator for price change.
The number of #Bitcoin daily active addresses (DAAs) is on the rise again.
DAAs can often add as a leading indicator for price action. As $BTC has been rallying above $43k recently, the number of DAAs is back above 1 million.https://t.co/jrHO8NOmtI pic.twitter.com/LJiUlDmbBq
— IntoTheBlock (@intotheblock) March 2, 2022
While the price of Bitcoin (BTC) has consistently risen over the previous week, temporarily exceeding $45,000, its accumulation has risen dramatically as well. The on-chain market, especially, demonstrates that the volume of accumulation wallets has hit the highest number ever. Accumulation wallets refer to Bitcoin (BTC) wallets that have lately been operational but have not used any of the cryptocurrencies, also known as staking or HODL.