Small Bitcoin holders hit a record high as marginalized investors buy the dip

Bitcoin (BTC) value corrected further below $20,000, with bears still in control as investors look for signs of a bottom.

Meanwhile, the price correction appears to provide investors with an opportunity to accumulate more cryptocurrencies. In fact, on September 16, the number of Bitcoin addresses holding at least 0.01 BTC reached a new all-time high at 10,702,698, according to data From the blockchain analytics platform glass knot Indicates.

Bitcoin addresses at more than 0.01. Source: Glassnode

Meanwhile, the number of daily new Bitcoin addresses created on the network is also peaking at 417,354 new addresses.

Bitcoin chart. Source: Ali’s schemes

Investor’s side entry into Bitcoin

In this line, prominent crypto trading analyst Ali Martinez stated that this trend can be attributed to the input of sideways investors who are participating in the market.

said in tweet On September 16.

Recent Bitcoin address activity has been correlated with the asset’s depreciation, which faces a new battle of no more than $20,000. At the time of writing, the major cryptocurrency is trading at $19,800, down nearly 2% over the past 24 hours.

In particular, it can be assumed that investors are more likely to accumulate more bitcoin and take advantage of the continued decline in prices. In this case, Bitcoin is known to be relatively expensive, and a drop in price will likely act as a catalyst for acquiring the asset.

FOMO groups in

In addition, the trend reflects the historical investment strategy of the crypto community to buy at the bottom in anticipation of a price hike in the future. Along these lines, retailers have been known to step in when FOMO kicks in.

Interestingly, the FOMO scenario has recently rebounded after Bitcoin posted slight gains above $22,000. However, the rate was corrected in the wake of rising inflation in the US, where the Federal Reserve is expected to raise interest rates.

Overall, the market is likely to wait for a potential bottom, as recent data indicates that buying interest is waning. Coinphony reported on September 14 that investor interest in buying Bitcoin has remained low compared to when the asset has risen in value.

warning: The content of this website should not be considered as investment advice. Investments are speculative. When you invest, your capital is at risk.

The number of small bitcoin owners hit a record high as sideways investors buying the dip debuted on Coinphony.

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