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

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Sat, 05/30/2020 - 15:11
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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
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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.

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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.)

Grayscale Assets Under Management Surge $300,000,000 in One Day. What Does This Mean?

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Fri, 10/23/2020 - 09:24
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Vladislav Sopov
Grayscale, undisputed giant of institutional crypto investments, is celebrating another monstrous milestone, adding a nine-digit sum to AUM in 24 hours
Grayscale Assets Under Management Surge $300,000,000 in One Day. What Does This Mean?
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Grayscale is an investment company that provides the clients with an exposure to digital currency markets eliminating the need to buy tokens. The firm does it by selling shares of 'trusts' related to certain digital assets. The recently started FOMO has already brought Grayscale's 'asset under management' (AUM) values to previously unseen levels.

Grayscale assets are on steroids

In its most recent report shared in a tweet, Grayscale Investments stated that its net AUM now surpasses $7,300,000,000. Mostly, this upsurge should be attributed to the spikes of Bitcoin (BTC), Ethereum (ETH) and Litecoin (LTC) prices.

Grayscale adds $300M to its AUM in 24 hours
Image by Twitter

Its founder, CEO of Digital Currency Group Barry Silbert, unveiled that Grayscale’s holdings added a whopping amount of value in the last 24 hours.

Added a cool $300 million in AUM in one day

In terms of separate ‘trusts’, the most impressive increase is associated with Litecoin (LTC). Its value added almost 10% bringing its total to over $34 mln. 

Bitcoin (BTC) allocation surged above $6 bln with a 5% increase. Notorious Grayscale Ethereum Trust (ETHE) added 6% and now is valued at $942 mln.

PayPal assists Grayscale

By contrast, Stellar Lumens (XLM) and Bitcoin Cash (BCH) trusts witnessed mediocre increases of 2-3%. The only integral product of Grayscale, Large Cap Trust that unites the most valuable coins under its umbrella, therefore, added less than 4%.

The numbers of Grayscale Investments positions rocketed due to the rapid spike of crypto prices associated with PayPal’s decision to add major digital assets to its instrument toolkit.

As covered by U.Today previously, PayPal announced that Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH) will be added as payment methods by the end of this year.

  

Following this surprising news, Bitcoin (BTC) revisited its multi-months high over $13,000. At press time, its price has slightly retraced and flirts with the $12,800 level.

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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.)