3.8% of Bitcoin supply moved at $30.2K, potential buying opportunity

3.8% of Bitcoin supply moved at $30.2K, potential buying opportunity

The Bitcoin Big Move: Unprecedented Buyer Interest at $30,000

The latest on-chain data suggests that Bitcoin (BTC) at $30,000 is the most popular “buy” level ever. Crypto analytics firm, Glassnode, has reported a record amount of BTC changing hands near the current spot price. This indicates significant buyer interest in the largest cryptocurrency.

Glassnode monitors unspent transaction outputs (UTXO) and reveals that $30,200 is the price at which the largest number of UTXOs was created. To provide accurate insights into demand, Glassnode’s Entity-Adjusted URPD (UTXO Realized Price Distribution) metric discards two types of transactions that could distort the actual mean purchasing price. The excluded transaction types are movements between addresses controlled by the same entity, as they do not represent real purchasing events, and supply on exchanges, as an averaged price for millions of users would be misleading.

The result of Glassnode’s analysis is that 3.8% of the total BTC supply last moved at $30,200, which is even higher than the movement at $16,500, a significant level marking the area near the 2022 post-FTX bottom. This data has led popular trader Mikybull Crypto to comment, “Big move is coming,” highlighting the potential for a significant price shift.

Bitcoin Entity-Adjusted URPD chart

The chart above demonstrates the data provided by Glassnode’s Entity-Adjusted URPD metric, indicating the significant movement of BTC at the $30,200 price level.

Over 7 Million BTC: Hodled or Lost

Additional on-chain data reinforces the notion that long-term holders, known as “old hands,” are uninterested in selling their BTC, despite the doubling of its price this year. Glassnode’s Hodled or Lost Coins metric focuses on “old and large stashes” of BTC and continues to reach new record highs.

The Hodled or Lost Coins metric analyzes the “liveliness” of the Bitcoin blockchain, which measures how much of the supply moves at once and after what period of dormancy. This data provides insights into the stagnant supply, including the amount that is likely out of circulation indefinitely due to owners losing access to their wallets.

According to Glassnode, the Hodled or Lost Coins segment currently includes 7.77 million BTC, with a value of approximately $233 billion. This is the highest tally in the past five years. Estimates have long suggested that around 20% of Bitcoin’s total supply of 21 million units may already be locked from circulation forever.

Bitcoin Hodled or Lost Coins chart

The chart above represents the data from Glassnode’s Hodled or Lost Coins metric, showcasing the increasing number of BTC that is being held or lost.

The Resilience of Bitcoin and the Growing Interest

The unprecedented buyer interest at the $30,000 level and the increasing number of BTC being hodled or lost highlight the resilience and growing interest in Bitcoin. Despite market volatility, these indicators demonstrate confidence in the long-term value and potential of Bitcoin as a store of value.

Bitcoin’s blockchain technology, which underpins its decentralized and immutable nature, plays a pivotal role in its enduring appeal. The blockchain serves as a transparent and secure ledger, recording all transactions and allowing participants to verify and track the movement of BTC. This technology has revolutionized the financial industry, offering numerous advantages over traditional systems.

One significant advantage of blockchain technology is its ability to eliminate intermediaries and reduce transaction costs. By leveraging smart contracts, individuals can execute agreements without the need for intermediaries, such as banks or lawyers, resulting in faster and less expensive transactions. This feature has particularly attracted the attention of industries such as supply chain management, real estate, and finance.

Moreover, the decentralized nature of blockchain technology ensures that no single entity has control over the network. This eliminates the risk of censorship, manipulation, or single points of failure, making it highly secure and resistant to hacking or fraud. As a result, blockchain technology has gained popularity beyond the realm of cryptocurrencies, with various sectors exploring its potential applications.

In summary, the blockchain industry continues to evolve and gain traction, driven by the increasing interest and adoption of cryptocurrencies like Bitcoin. The latest on-chain data reveals significant buyer interest at the $30,000 level, indicating a potential big move in the market. Additionally, the growing number of hodled or lost BTC reinforces the resilience and long-term investment perspective of Bitcoin. With its decentralized and transparent nature, blockchain technology offers transformative possibilities across industries, paving the way for a more secure and efficient future.