Bitcoin investors appear to be content with simply hanging on to the cryptocurrency, predicting that its price will continue to rise faster than that of the altcoins. According to a new estimate by research firm Glassnode, just 12.9 percent of the total amount of Bitcoins has been circulating on various cryptocurrency exchanges since August of this year. The overall amount of Bitcoin crypto tokens in circulation is above 18.8 million, accounting for 90 percent of the 21 million tokens that Satoshi Nakamoto, Bitcoin’s mystery creator, pre-decided to be generated.
According to the Gadgets 360 tracker, the current price of Bitcoin, the world’s oldest cryptocurrency, was hanging around its recently established all-time high of $70,286 (approximately Rs. 52.3 lakh) at the time of writing.
According to Glassnode’s analysis, the supply held by “long-term holders” (LTHs) achieved “peak HODL” as Bitcoin raced to a new all-time high. According to CoinSutra, “HODL” began as a misspelling and has now evolved into a funny backronym meaning “Hold on for dear life.”
“At this moment in time, they jointly possessed a local maximum of the whole currency supply, in this case 81.5 percent.” LTHs have spent 0.73 percent of the currency supply back into liquid circulation since then, according to the study.
Essentially, the research claims that if investors were dissatisfied with their Bitcoin holdings, they would have kept more tokens on exchanges, ready to sell, but this does not appear to be the case right now.
“On-chain activity is only barely above bear market levels,” Glassnode observes, despite the fact that it is hanging just below all-time highs.
The pace at which new wallets transmit or receive Bitcoins has also surged in recent months, according to the analysis.
On November 9, 516,914 new addresses took part in a transaction, representing a tremendous 72 percent rise in the number of newcomers giving or receiving Bitcoin since the beginning of August.
Bitcoin has risen to become the world’s most valuable cryptocurrency in the previous thirteen years, from its inception in 2009.
Each Bitcoin token cost $0.0008 (approximately Rs. 0.060) in 2009, a fraction of what they cost now.
The current market capitalization of Bitcoin is $1,244,763,098,851 according to CoinMarketCap (roughly Rs. 92,68,506 crore).
Bitcoin adoption is also rising at a noteworthy rate.
El Salvador, a Central American country, became the first in the world to make Bitcoin legal money in September.
The city of Miami in the United States has developed “MiamiCoin,” a Bitcoin-based native token, and promises to convert the revenues into Bitcoin for its people.