- About 48 new whale wallets returned as Bitcoin rose above $43,000.
- New addresses are still coming onto the network, but the number has decreased.
Bitcoin [BTC] has continued its price upward trend and reached a new high for the year. As it enters this unknown range, portfolios that previously secured profits are now actively accumulating again.
Bitcoin addresses resume accumulation
The recent rise in Bitcoin prices has revived accumulation activity among certain portfolios.
According to the data of SantimentThese wallets had built up significantly during a period when BTC price trends were relatively flat.
The accumulation continued as the BTC price rose, peaking at over 16,000 wallets around November 9.
However, the number then fell sharply, reaching around 15,900. This drop suggested that these wallets had liquidated their holdings, corresponding to a BTC price exceeding $37,000.
Source: TradingView
After the sell-off, portfolios resumed accumulation as the BTC price continued to rise. On December 5, the number of wallets almost reached the previous high of 16,000 again.
The increase coincided with the BTC price crossing the $41,000 mark. At the last update, the count was around 15,900, indicating a downward trend.
These moves suggest that portfolios holding 100 or more BTCs are strategically navigating the highs and lows of the market to maximize profits.
Newcomers?
As existing Bitcoin wallets resumed their accumulation, there was a notable drop in new address creation by the end of December 5.
According to the analysis of the new address graph on Glassnode, the number of new addresses in the network on that date was approximately 422,000. This marked a significant drop from the more than 500,000 observed just a few days earlier.
Source: Glassnode
The drop indicated that the recent rise in Bitcoin’s price had not yet caused a substantial influx of new addresses.
It also suggested that the continued price increase was mainly driven by existing addresses and not by an increase in activity from new participants.
Race to 50k?
Bitcoin started the day with a slight price decline, but quickly gained momentum and closed trading on December 5 at a yearly high.
Analysis of the daily timeframe chart showed that BTC had risen almost 4% by the end of the trading day, reaching a value of over $44,000 – a price range that had not been reached in more than a year.
Read Bitcoin (BTC) price prediction 2023-24
Furthermore, at the time of writing, the new trading day got off to a slow start with a decline of over 1%, dropping the price to around $43,500.
Despite this dip, a robust bullish trend remained. The Relative Strength Index indicated it remained above 75, firmly in the oversold zone.
Source: TradingView