Bitcoin traders are waiting to reap profits from the halving event that took place in May, but as the price moved sideways this wish still remains unrealized. Even though BTC price has faced tough resistance at $10k, making it difficult for the coin to surge past this point, investor trust has kept the value above $9k and given rise to increased hodling.
According to data provider, Glassnode these Holders have spent 154 out of 170 days in 2020 accumulating BTC and have increased their positions by almost 233k BTC.
Source: Glassnode
According to the chart above, Hodlers net position accumulating Bitcoin has largely remained positive since April. According to the data provider, a large percentage of Bitcoin remained unmoved over the past three years. As per data, nearly 60.8% of Bitcoin wasn’t moved in the past year, while 42.9% of the supply has not been moved in two years. At the same time, the percentage of BTC supply remained unmoved was 28.5%, noting the accumulation of the digital asset has been increasing in recent years.
Source: Glassnode
While the accumulation was a good hedge against the upcoming price action, the traders were wary of the price breaking above $10k in the near future. The market has been awaiting a correction due to the sudden pump in the BTC value. As per another metric, the current period was apt for new investors to enter the market as the digital asset slipped into the “buy” zone.
According to Bitcoin Puell Multiple, the digital asset dipped into the green zone, below the 0.5 line, indicating a good point of entry for long-term time investors. Historically this point has proved to be a good time to buy BTC.
Source: Glassnode
The Puell Multiple, calculated by dividing the daily issuance value of bitcoin into U.S. dollar by the 365-day moving average of the daily issuance value, suggested that the asset was undervalued. The current standing of the metric noted the value of the newly issued coins on a daily basis was low compared to historical standards. As per the previous data, it also suggested an end to the bear market.
