Retail Bitcoin Investors Are Stocking Up For The Next Bullish Cycle

Retail Bitcoin Investors

Welcome back to the Tribe! In this post we dive into the the recent increase in bitcoin addresses holding over 1 Bitcoin and Horizen buying a bored ape for 100 ETH!

Nothing should be considered investment or financial advice. Enjoy the ride!

Retail Bitcoin Investors

The number of addresses holding more than 1 BTC just hit a 10-month-high. According to Glassnode, the number of addresses holding more than 1 BTC rose from 817,389, which was the highest in 10 months as of 27 February 2022. The new figure stands at 817,445, which means 56 more addresses increased their bitcoin holdings above 1 BTC in just 24 hours.

📈 #Bitcoin $BTC Number of Non-Zero Addresses just reached an ATH of 40,276,163

Previous ATH of 40,275,801 was observed on 05 February 2022

View metric:https://t.co/VtoChZbLsa pic.twitter.com/hTnHlN9GeU

— glassnode alerts (@glassnodealerts) February 27, 2022

Increase In Addresses

These numbers are significant considering Bitcoin’s poor outing in the market so far. There are also numerous speculations surrounding this increase. It might be the uncertainty arising from Russia’s invasion of Ukraine, and the economic sanctions by America and its allies on them. It may also be that investors are accumulating Bitcoin in anticipation of the next bullish run.

Speaking of accumulation, a Glassnode analysis that considered Bitcoin wallet sizes and the amount added to them over several months shows smaller wallet sizes had more accumulations. According to the wallet cohort trend accumulation score, wallet sizes below 1BTC to 100BTC accumulated more BTC than those greater than 100 BTC. This means retailers were more aggressive in accumulating BTC than the whales, since the analysis excludes Bitcoin miners and exchanges.

Furthermore, the charts also show that the small wallet holders started accumulating in September 2021. This is about 2 months before any significant buying activity started among wallet addresses with 100 – 10k BTC.

Most #Bitcoin wallet cohorts are now in net accumulation, with smaller holders being the most aggressive.

This heatmap presents the #Bitcoin accumulation score for each wallet cohort.

🟦 indicates entities are adding to their balance.
🟥 indicates entities are not accumulating. pic.twitter.com/sVp7SV6yHy

— glassnode (@glassnode) February 28, 2022

These numbers suggest that small wallet holders may know something that whales don’t. A fact that is clear when you consider the duration of the accumulation. This may also indicate an increased trust in Bitcoin as a good store of value among them.

Horizen Labs Buys A Bored Ape NFT For 100 ETH

Recently, the Astronaut Bored Ape #6709 sold for 100ETH. The buyer of the Ape was unknown until Horizen labs, a web3.0 developer, owned up to the purchase.

This purchase came after the Bored Ape Yacht Club (BAYC) announced a partnership with a web3.0 developer. Horizon Labs spent a whopping 100 ETH for the NFT, which amounts to $420,000 at the time of the purchase. Opensea data also shows this is the second time the NFT is sold, the previous sale being in May 2021. It is interesting to note that this ape sold for just 0.75ETH the last time, which is about 1300% appreciation in value. This shows that the NFT rave might not be slowing down after all.

According to Horizen labs, this move was to signal their support for the NFT space.

“This purchase is a sign of our strong partnership with the Bored Ape Yacht Club and our growing role in developing the Web3 space.

When determining which Bored Ape to purchase, the Astronaut Bored Ape #6709 stood out to us. It is a signal that we are ready to go to the moon together with the BAYC community, the Horizen community, and all our other partners.” Rob Viglione, Horizen labs CEO, said.