BTC maintains support level above $27,000
The cryptocurrency market has been experiencing a lot of volatility in the past few weeks, with Bitcoin dropping below $30,000 several times. However, the leading digital asset has managed to hold above a crucial support level of $27,000, thanks to the buying pressure from long-term holders.
According to data from Glassnode, the number of Bitcoin addresses holding at least 1,000 BTC has increased by 164 since the start of the year, indicating that large investors are accumulating more coins despite the price fluctuations. These long-term holders, also known as “whales”, are considered to have a strong influence on the market sentiment and direction.
Moreover, the amount of Bitcoin held by entities with a low spending history, or “illiquid supply”, has also risen to a new all-time high of 14.5 million BTC, representing 78% of the circulating supply. This means that more Bitcoin is being held for longer periods, reducing the selling pressure and increasing the scarcity of the asset.
These bullish signals suggest that Bitcoin has a strong support base above $27,000, and that long-term holders are confident in its future potential. As long as this level holds, Bitcoin could resume its upward trend and challenge its previous highs of $42,000 and beyond.
