The decline in bitcoin’s price has sparked investor interest in buying the digital asset and putting it into cold storage.
According to research organization Glassnode, there is now an active build-up of bitcoin funds in addresses with balances of 10 BTC and more. This trend can also be seen along with the fact that the number of addresses with balances of 1 BTC and more continues to update historical highs.
At the same time, cold wallet makers are noting an increase in investor interest in buying bitcoins and withdrawal of funds for cold storage. Some vendor companies are recording sales reaching an all-time high in the last 30 days, which is unusual for the bearish phase of the bitcoin market.
Glassnode, in turn, says that the collapse of FTX reduced confidence in cryptocurrencies CeFi, which led to the largest drop in cryptocurrency balances in recent weeks, when at the peak of the decline they decreased on a monthly basis by a total of 177.9 thousand BTC. The number of bitcoins on cryptocurrency balances ended up being only 11.99% of the total supply of these digital assets in the world, which is the lowest number since December 2017.
Glassnode emphasizes that almost all bitcoins that have been deposited on cryptocurrency exchanges in the past 12 months have left these platforms during this time period. Bitcoin withdrawals now account for nearly one in three transactions made on cryptocurrency exchanges.
Fundstrat analyst Tom Lee is confident that the cryptosphere will continue to evolve, turning the page on the FTX collapse. The organization previously predicted that bitcoin will reach the $200,000 level this year – now Fundstrat said that the FTX situation has not cancelled the forecast, but only delayed its implementation for some time.