Crypto Traders Are Still Holding Their Bitcoin (BTC) Amidst The Correction In The Market
You are probably aware of the fact that just recently, Bitcoin had its largest single-day decline from this year.
The most important coin in the market recorded its lows below $8k, and these were last seen back in June 2019.
Now, new research by crypto analysis firm Coin Metrics had revealed that the selling pressure during the market breakdown came from the short-term traders who had last purchased BTC when it was trading at around $10k to $12k.
It’s been reported by the online publication the Daily Hodl that the notes highlight the fact that around 4 million BTC were moved when the coin was trading between $0 and $500 and about 30% of that amount or 1.2 million BTC moves near the current market price of $8,065.
This showed an increase in the number of BTC holders, and it also means that people are not selling their BTC.
Coin Metrics’ researchers noted the following:
“[Historically,] the drawdowns of this magnitude are rare but to be expected…the mean-reverting nature of volatility … [and] the increased use of derivatives appear to be the primary factors for [the recent sell-off.]”
You should check out the complete report in order to learn more data.
Bitcoin positive predictions
Despite the huge volatility of the cryptomarket and the fact that BTC dropped a lot recently, this did not stop the optimistic predictions from pouring into the crypto space.
For instance, back in August, a crypto analyst predicted that BTC would fall by 50%, and he’s now back. He’s mapping out BTC’s potential path through 2021.
The man is Roger Quantrillo and he said that he’s expecting BTC to flaunt a massive comeback this year and surge to $14k.
He also believes that BTC is poised for a really long-term bull run and will reach a new all-time high of $100k or $110k by December 2021.
He also said that after that, he expects another correction to $30k.
At the moment of writing this article, Bitcoin is trading in the red and the most important coin in the market is priced at $8,040.47.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Eduard Watson Author
An experienced finance writer for more than 10 years, active industry watcher, and gadget enthusiast.