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Bitcoin

<h2 id="key-points">Key Points</h2>
<ul>
 <li>Bitcoin (BTC) is ending a year-long accumulation spree that started at the end of the 2022 bear market.</li>
 <li>The number of coins held in accumulation addresses is decreasing for the first time since Q1 2023.</li>
</ul>
<p>The accumulation phase of <a href="https://crypto.ro/en/cryptocurrencies/bitcoin/" rel="noopener noreferrer nofollow">Bitcoin (BTC)</a> that began at the close of the 2022 bear market is coming to an end, according to data.</p>
<p>On-chain analytics firm Glassnode reports a decline in BTC held in accumulation addresses, a trend that hasn’t been seen since the beginning of 2023.</p>
<h2 id="accumulation-wallets-shedding-btc">Accumulation Wallets Shedding BTC</h2>
<p>Despite Bitcoin reaching record highs recently, there appears to be a sell-off happening behind the scenes, with holders starting to take profits.</p>
<p>Glassnode’s data reveals that the number of coins in “accumulation addresses” – wallets that have no outgoing transactions and at least two inbound ones – is decreasing.</p>
<p>This shift started on February 11, breaking a year-long tradition, coinciding with BTC/USD returning to $48,000, a critical long-term trading range’s peak.</p>
<p>Since then, the balance in accumulator wallets has fallen 2.6% to 3,176,293 BTC (equivalent to $212 billion) and shows no signs of reversing.</p>
<h2 id="long-term-accumulation-trend-still-intact">Long-Term Accumulation Trend Still Intact</h2>
<p>Despite the decreasing exposure, accumulator wallets have historically spent extended periods accumulating coins at a discount, only starting to sell at the beginning, not the end, of significant uptrends.</p>
<p>When looking at the balances throughout Bitcoin’s existence, a broader accumulation trend that has been in place since mid-2018 still holds strong. This trend contrasts sharply with a significant reduction that began in 2016, just as Bitcoin started its run to the old $20,000 all-time highs.</p>
<p>The launch of the United States spot-Bitcoin exchange-traded funds (ETFs) in January has uniquely impacted supply dynamics.</p>
<p>Consistent buying pressure has led to phenomena never seen before, including hitting an all-time high before a block subsidy halving.</p>
<p>Timothy Peterson, founder and investment manager at Cane Island Alternative Advisors, suggests that ETF demand could push Bitcoin to six figures as early as 2024.</p>
<p>Peterson compared unspent transaction output (UTXO) numbers to BTC price performance, noting a growth of 0.34% per day.</p>

ETFs Drive Bitcoin Beyond Accumulation Phase, Setting New $100K Price Target

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