Bitcoin has exhibited remarkable performance, achieving new all-time highs over the past week. Likewise, other major cryptocurrencies such as Ethereum, Solana, and Cardano have also experienced significant upward movement in recent days.
Recent on-chain observations suggest that the cryptocurrency market, particularly Bitcoin, may still have room for growth. Investors seem to be reinforcing their positions rather than cashing out for short-term gains. Prominent crypto analyst Ali Martinez shared on the X platform that Bitcoin accumulation addresses have seen substantial inflows in the last few days. This insight is derived from a surge in CryptoQuant’s “Inflows to Accumulation Addresses” metric.
Accumulation addresses exclude those owned by miners and exchanges and are characterized by having zero outgoing transactions or at least not spending their holdings over a duration. Furthermore, these addresses must have received at least two incoming transfers and contain more than 10 BTC. These Bitcoin addresses are generally controlled by large entities, including whales and institutional investors.
Data from CryptoQuant shows that a staggering 57,800 BTC, valued at approximately $4.16 billion, has flowed into these accumulation addresses since November 3. A chart illustrating this data reveals that inflows into Bitcoin accumulation addresses have been increasing in recent weeks.
This rising trend is typically a positive signal for Bitcoin’s price, which has already been on an upward trajectory. The decision to “hodl” rather than sell suggests growing confidence in Bitcoin’s long-term potential, indicating that significant investors are banking on the cryptocurrency’s continued rise.
As of this report, the price of Bitcoin is approximately $76,550, marking a modest 1% increase over the past 24 hours. However, the leading cryptocurrency has surged by more than 10% over the past week.
In a related development, a recent Quicktake post on the CryptoQuant platform highlighted a significant inflow of the USDT stablecoin into centralized exchanges. On-chain data reveals that net inflows of this stablecoin have surpassed $2 billion, reaching their highest level since December 2022.
Higher balances of stablecoins, often seen as indicators of increased liquidity, suggest a substantial buying power among investors, which could drive demand higher. If this rising liquidity on exchanges aligns with the growing accumulation of Bitcoin, it could further support the cryptocurrency’s price increase.
