The activity of historical Bitcoin (BTC) whales has seen a significant surge recently, and many are left wondering what could be causing this sudden increase. Some experts believe that the whales may be taking advantage of the current market conditions to accumulate more BTC, while others speculate that it could be due to increased institutional interest in the cryptocurrency. Regardless of the cause, the surge in activity of these ancient BTC whales is a noteworthy development that could have significant implications for the future of Bitcoin and the broader cryptocurrency market.
Recently, there has been a surge in activity from dormant Bitcoin whales, with approximately 3,200 BTC of Ancient Supply (7+ years) being revived last week. This includes 1.1K BTC dating back to pre-2013. It’s worth noting that only 4.25 million coins have ever achieved Ancient Supply status, and out of those, a mere 356K have been spent.
Possible explanation for surge in activity: Market conditions. BTC price at $30k range, long-term holders may cash out and take profits. Ancient whales waiting for right moment to reenter market, current scenario presents perfect opportunity.
The possible influence of institutional investors entering the cryptocurrency market is a noteworthy consideration. Additionally, it is plausible that certain prolonged investors are reallocating their assets to alternative wallets or exchanges for improved portfolio management amid the evolving market conditions.
It is plausible that the recent resurgence of activity among long-dormant Bitcoin whales may simply be a coincidence. With the sheer number of Bitcoin addresses in existence, it is entirely possible that a small percentage of these wallets would naturally become active again, or that a single entity is merely transferring assets across multiple addresses.
Investors must remain vigilant of the potential impact of these historical Bitcoin whales on the market. The recent surge in activity could lead to heightened volatility and even influence the overall direction of the market.
The BRC-20 token standard for Bitcoin is gaining popularity among meme token creators as the latest preferred option. Meme tokens, which are digital tokens based on popular internet memes or trends, are now being created using the BRC-20 token standard, which offers a range of benefits such as increased security, improved scalability, and enhanced interoperability. With the rise of meme tokens in the cryptocurrency market, the BRC-20 token standard is becoming a new destination for creators looking to launch their own meme tokens.
The BRC-20 token standard of Bitcoin has gained immense popularity in the crypto ecosystem, particularly in light of the recent surge of Pepe meme coin. With a staggering 8,500 unique tokens created using the BRC-20 standard, a significant portion of these tokens are meme coins, including the likes of Pepe and Meme.
The BRC-20 token standard, inspired by Ethereum’s ERC-20, is an experimental token modelled on the Bitcoin blockchain. This standard enables developers to design and transfer fungible tokens through the Ordinals protocol.
The BRC-20 token standard, despite its resemblance to ERC-20, diverges significantly from its Ethereum-based predecessor. Absent from BRC-20 tokens is the use of smart contracts, and their issuance and exchange necessitate a Bitcoin wallet.
The BRC-20 token standard, initiated by an on-chain analyst known only as Domo in March 2021, enables the issuance and transfer of fungible tokens on the Bitcoin blockchain. In the past month, the market capitalization of BRC-20 tokens has skyrocketed to $120 million, representing a 600% surge from the previous week.
BRC-20 tokens marketcap. Source: Ordinals
During the period of April 29 to May 2, the amount of BRC-20 transactions on the Bitcoin blockchain surpassed the number of regular BTC transactions by over 50%, highlighting the overwhelming popularity of BRC-20 tokens.
Bitcoin metrics have achieved all-time highs in hash rate, daily transactions, and ordinals, indicating a positive trend for the cryptocurrency.
“On May 1, the BRC-20 token achieved its highest volume of 366,000 transactions, contributing to a total network transaction count of 2.36 million.”
BRC-20 tokens transaction volume. Source: Dune
As BRC-20 transactions continue to increase, so do the accompanying transaction fees, which have experienced a remarkable surge thanks to the new token activity. Since its launch in late April, the network has yielded an impressive 109.7 BTC in transaction fees for miners.
BRC-20 tokens total fees. Source: Dune
The Ethereum (ETH) blockchain has seen a significant surge in the meme coin frenzy. However, the Bitcoin blockchain has also observed a similar trend with the emergence of the BRC-20 standard. This has resulted in a considerable increase in Ethereum network gas fees, leading to network congestion.
“Analyzing the utilization of BTC in the African nation of Senegal, as featured in a renowned magazine.”
The recent formation of a highly bullish pattern in Bitcoin has led many to speculate that the long and harsh “crypto winter” may finally be coming to an end. This news comes as a welcome relief to investors and enthusiasts alike, who have weathered a difficult period of market turbulence and uncertainty. While it is still too early to say for certain what the future holds for the cryptocurrency market, this latest development is certainly cause for cautious optimism.
BTC’s value has been stagnant at roughly $28,500 since early May due to investor apprehension leading up to the FOMC policy meeting on May 3rd.
The cryptocurrency downtrend may be concluding, as Bitcoin creates a highly optimistic pattern, as reported by renowned Twitter chart analyst Trader Tardigrade.
On May 3rd, Trader Tardigrade tweeted a Bitcoin price chart that depicted a rising wedge pattern at the conclusion of its recent bearish trend. This formation is typically utilized to recognize potential changes in market direction.
Trader Tardigrade observed that Bitcoin has broken through the upper trendline and horizontal resistance level after completing the pattern.
PricePredictions’ machine learning algorithm predicts a slight drop for BTC by the end of May, with the month closing at $28,265 – a 1.24% decrease from current levels.
Bitcoin has achieved a noteworthy milestone, with daily transactions hitting a new high of 682,280 on May 1. This marks a remarkable surge of 255% from the previous record of 192,000, which was attained on December 14, 2017.
This site’s content does not constitute investment advice and must not be relied upon as such. Investing involves speculation, and your capital is exposed to risk.
“Should this present correction resume, the cost basis of the young supply holders at $24.4k may well be a psychological level to monitor in the weeks ahead.”
[B]ut we are confident that we will be over $30k in no time. Our thesis solidifies the longer we’re above the highly active $28 – $28.2k level. Notice the large horizontal bar.
「全球加密貨幣市場關注焦點:聚焦聯邦儲備委員會」
$BTC pic.twitter.com/OKS791fYEi
— XO (@Trader_XO) May 1, 2023
Lol … volatile day coming tomorrow, and perhaps a decisive trend setter for the coming weeks. The start of a new #Bitcoin rally? https://t.co/Dd8FWOjsDa
— Jake Simmons (@realJakeSimmons) May 2, 2023
This article discusses the potential end of Bitcoin’s relief rally, which was sparked by a bullish surge in the market. The relief rally was a temporary increase in price that offered some relief to investors who had been seeing a downward trend. However, the article suggests that this rally may be coming to a close, as the market is starting to show signs of returning to its previous downward trend. The article explores the reasons behind this potential conclusion and offers insights into what investors should be aware of as they navigate the Bitcoin market.
“An Absence of Trend Reversal”
BTC to USD Chart | Source: CoinMarketCap
Crypto enthusiasts are currently debating whether bitcoin’s price trend is still bullish or if the recent relief rally is coming to a close. As of now, bitcoin is trading at 28,000, marking a 1.3% decline over the past 24 hours.
Bitcoin’s price has sustained stability around $28,000 since March 23rd, with April showing no sign of deviation. This marks a noteworthy surge from the starting price of $17,000 at the onset of the year.
Bitcoin
In the realm of crypto, relief rallies denote transient surges in value post a notable market slump. Bitcoin, for instance, underwent a severe price plummet at the start of this year, inciting widespread investor alarm and liquidation of their assets.
Bitcoin’s price has demonstrated a gradual ascent in recent weeks, potentially indicative of a relief rally that appeases investors’ concerns regarding the cryptocurrency’s long-term viability.
Based on a recent video by DataDash, we find ourselves within a prolonged period of historical support that is expected to act as resistance once again, as seen in June. This established price range has proven to cause resistance and is anticipated to do so once more.
On longer time frames, the situation becomes worrisome for those bullish on the market. The trend is expected to reverse or experience a blue flip upon entering May, as we have surpassed the indicator at an accelerated rate. Unfortunately, the indicator has remained red for three, almost four consecutive months, signaling that we are not yet prepared.
DataDash has identified a reliable momentum indicator that has been utilized in various markets, including forex and commodities, prior to its adoption in the crypto space. However, it should be noted that no single indicator can guarantee absolute accuracy.
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“A perplexing factor”
BTC to USD Chart | Source: CoinMarketCap
Crypto enthusiasts are currently fixated on the direction of Bitcoin’s price trajectory. The pressing question on everyone’s mind is whether the current uptrend will persist or if the recent rally is approaching its culmination. As of now, Bitcoin is trading at 28,000, indicating a 1.3% decline over the past 24 hours.
Bitcoin’s price has maintained stability around $28,000 since March 23rd, with April exhibiting no significant deviation. This represents a substantial surge from its initial value of $17,000 at the onset of the year.
Bitcoin
The weekly timeframe reveals a momentum indicator that remains in the blue zone, leading to potential investor confusion as noted by DataDash.
It is a challenging task to navigate a relief rally in the current market climate, as its upward trajectory may not be sustainable over the long term. These types of rallies have historically been brief and often lead to subsequent price declines. As a result, investors should approach these indicators with caution and exercise prudence before taking on significant leverage positions.
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