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60% of Bitcoin (BTC) Supply Hasn't Moved in Over a Year, Glassnode Says

News
Sat, 05/30/2020 - 15:11
Vladislav Sopov
Hodlers' accumulation, which are revealed by the increased number of dormant Bitcoins (BTC), is typically treated as a bullish sign. But the ongoing one may be specific.
60% of Bitcoin (BTC) Supply Hasn't Moved in Over a Year, Glassnode Says
Cover image via stock.adobe.com
Contents

Glassnode's research team, which address the sphere of on-chain cryptocurrency analytics, explained why the actual Bitcoin (BTC) market closely resembles 2017.

Is Patience a Virtue?

Analysts at Glassnode revealed a chart that demonstrates the dynamics of some very interesting metrics. They tracked the quantity of Bitcoins (BTC) that stayed dormant for at least a year.

Glassnode chart of dormant Bitcoins (BTC)
Image via Twitter

According to the chart, the number of dormant Bitcoins (BTC) is flirting with 60%. The last time it was this high was just before the most bullish price rally of 2017. 

It was this rally which catapulted the price of Bitcoin (BTC) to its actual all-time high (ATH) of $19,786 on December 17, 2017. 

Shortly after the bearish reversal in 2018, the share of dormant Bitcoins (BTC) touched its local low at 40%, This resulted in a panic sell-off.

Hodlers Dominate

Hodling (crypto slang for 'holding') trends are crucial not only for the Bitcoin (BTC) blockchain. Adam Cochran of Metecartel Ventures DAO, highlighted that Ethereum (ETH) whales are going through the stage of accumulation.

While the price Ethereum (ETH) is nowhere near its best levels, the top 10,000 wallets in Ethereum (ETH) continue to accumulate show zero interest in selling their altcoins.

The situation with the exchange balances is quite different. While Bitcoins (BTC) continue to leave storage exchanges in favor of cold wallets, Ethereum (ETH) is accumulated by the top centralized exchanges.

For example, Bitfinex's Ethereum (ETH) balance surged almost 60%, just barely touching the insane 4M Ether mark. Analyst Elias Simons of Decentral Park suggests that this may have been caused by Bitfinex's plans to participate in the Ethereum (ETH) 2.0 staking, or to cover the gas fees of the ERC20-based Tether (USDT). Bitfinex may also target better funding rates for Ethereum (ETH) stakers than those being offered on other DeFi markets.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
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John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)