Cryptocurrencies

Bitcoin Going Illiquid at $100K a Month

Recent analysis on Bitcoin from Glassnode shows that BTC changed its state, shifting from liquid to illiquid form at $100 000 in a month. Illiquidity represents assets kept in wallet addresses with slight transaction history. Those addresses often include investors that accumulate and also bull market buyers.

Quick reactions

Glassnode’s statement outlined immediate reactions from the Crypto Twitter community. Although it produced divided opinions, the majority expressed their anxiety over the development. That happened because BTC’s illiquidity affects its value and accessibility.

Ryan Dixon, a Twitter user, is one of the few optimistic people about this news. On Glassnode’s tweet, he tweeted, “Nice.” His response showed that BTC’s growing illiquidity affected him in a positive way.

The report could mean that BTC bulls try keeping their holding places awaiting a huge price upgrade, a result that now seems a little dark. Today, Bitcoin trades mainly at $49K. However, the digital asset fell 25% behind its ATH in November.

Why BTC holders await illiquidity

Several factors contributed to the Illiquidity. Available data indicate that more than 25% of all Bitcoin is unreachable because some are locked or permanently lost.

Related Post

One of the reasons can be the fact that users forget passwords to access their wallets. Some people have died without revealing that they had holdings.

As a result, some holders locked large Bitcoin reserves in cold storage. For instance, there’s a hypothesis that Crypto’s anonymous inventor, Satoshi Nakamoto, still holds his coins.

Potential for a future bearish phase

Many users were less enthused by the news, as the Twitter user Nour Eddine considered $100 thousand figure illusionary. The report seemed like a scheme to him that the elite misled to buy their coins.

One analyst suggested that Bitcoin could experience a bearish phase soon, saying that the crypto market might suddenly crash, annulling the ideas of many other analysts.

Recent Posts

Nio Launches L60 SUV at ¥219,900 Amid EV Turmoil

Key Points: Nio launched the Onvo brand: Introduced the L60 SUV, targeting the family car segment with smart Electric Vehicle…

3 hours ago

Bitcoin Surges 7.5% to $66,350 Amid Volatility

Key Points: Bitcoin's value has soared to $66,350, marking a 7.50% increase, supported by bullish "Bullish Engulfing Candles." US inflation…

4 hours ago

European Stocks: Stoxx 600 Rises, Utilities Lead

Key Points: European Stocks Up: The Stoxx 600 rose by 0.6%; utilities soared by 1.7%. Record Highs in US and…

4 hours ago

Gold Price Hits $2,388.10, Edges Up by 0.1%

Key Points: Market expert predicts a potential rise to $2,400 for gold, dependent on economic cues like Federal Reserve decisions.…

7 hours ago

EUR/USD Reaches 1.0900, Gains for Fourth Week

Key Points: EUR/USD Ascension: The currency pair approaches a crucial level of 1.0900, highlighting its fourth weekly gain and the…

8 hours ago

GBP/USD Adjusts to 1.2688 Amid Key Economic Update

Key Points: Fed speakers and reports awaited: Comments from Fed officials and upcoming economic reports could impact GBP/USD volatility. US…

8 hours ago

This website uses cookies.