As the world’s leading cryptocurrency, Bitcoin provides a growing appeal to investors and speculators all over the world. As the number of non-zero addresses reaches an all-time high, things are getting very interesting.
Non-Zero Addresses All-Time High
There are many reasons why Bitcoin has become more appealing to both consumers and companies. It started well before publicly-traded companies started setting up a Bitcoin Treasury to confirm their cryptocurrency support openly. Contrary to other financial assets, Bitcoin has an exceptional yearly performance record that only seems to gain momentum over time.
As this momentum keeps increasing, it is a matter of time until more people acquire [small portions of a] Bitcoin. Diversifying one’s portfolio is crucial during these uncertain financial times. Acquiring fractions of a Bitcoin can play a significant role in the future, especially for those who want to taste financial freedom.
Today, the number of non-zero addresses for BTC hit an all-time high. It is not the first ATH in recent weeks, yet there are now over 36.546 million people who own a part of a Bitcoin. A substantial number, as the number of non-zero addresses sat near 20 million during the previous BTC bull run. Statistics like these hint at this bull run having a bit more momentum behind it.
One also has to keep in mind not everyone has to own one full Bitcoin. It is mathematically impossible to do so. There are only 21 million BTC to enter circulation by 2140, yet more than 21 million people hold BTC today. Keeping that in mind, the coming years are likely to get rather interesting.
Are Whales Diversifying?
Contrary to what some people may think, the addresses holding the larger amounts of Bitcoin are not necessarily increasing their holdings lately. More specifically, fewer addresses are holding 1,000 BTC or more. That is not necessarily an alarming trend, as putting more BTC into the hands of more people creates a better-diversified landscape.
Currently, there are still 2,282 addresses holding over 1,000 Bitcoin. A remarkable amount for a currency that recently hit $60,000 and more. Many people may be tempted to sell at such prices, yet most Bitcoin whales seem less interested in doing so. From a long-term perspective, this can trigger some exciting developments. It is not a guarantee for seeing the BTC price go up further, though.
That being said, nearly 2,500 addresses were holding over 1,000 BTC in February of 2021. Noting a near 10% decrease in just a few weeks is problematic but not necessarily worrisome. It is unclear why these addresses have liquidated their holdings, although many different reasons can apply. For now, it seems unlikely there will be any major impact on the Bitcoin price, either positively or negatively.