Categories: Bitcoin Latest News

Bitcoin Holders Show Rapid New Accumulation For First Time This Bear, Bottom Signal?

On-chain data shows Bitcoin holders have done some rapid fresh accumulation recently, something that may lead to bottom formation for the cycle.

Bitcoin 1w-1m Realized Cap UTXO Age Bands Have Sharply Gone Up

As pointed out by an analyst in a CryptoQuant post, the percentage of the BTC realized cap that was last moved between 1 week to 1 month ago has displayed rapid uptrend for the first time in this bear.

The “realized cap” is a Bitcoin capitalization model that values each coin in the circulating supply using the price at which it was last moved. The metric then calculates the “true valuation” of BTC by summing up all these values of the individual coins.

This is different from the normal market cap, where every coin in circulation has the same one value; the current Bitcoin price.

The “realized cap – UTXO age bands” is an indicator that tells us the distribution of the realized cap of each age band in the market.

These age bands specify ranges between which UTXOs (or more simply, coins) falling into said age band were last moved.

The relevant age band here is the 1w-1m group, which includes all UTXOs that were last moved within 1 week to 1 month ago.

Here is a chart that shows how the percentage of the realized cap contributed by this age band has changed over the years:

Looks like the value of the metric has sharply gone up in recent weeks Source: BTCUSD on TradingView
Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, CryptoQuant.com

On-chain data shows Bitcoin holders have done some rapid fresh accumulation recently, something that may lead to bottom formation for the cycle.

Bitcoin 1w-1m Realized Cap UTXO Age Bands Have Sharply Gone Up

As pointed out by an analyst in a CryptoQuant post, the percentage of the BTC realized cap that was last moved between 1 week to 1 month ago has displayed rapid uptrend for the first time in this bear.

The “realized cap” is a Bitcoin capitalization model that values each coin in the circulating supply using the price at which it was last moved. The metric then calculates the “true valuation” of BTC by summing up all these values of the individual coins.

This is different from the normal market cap, where every coin in circulation has the same one value; the current Bitcoin price.

The “realized cap – UTXO age bands” is an indicator that tells us the distribution of the realized cap of each age band in the market.

These age bands specify ranges between which UTXOs (or more simply, coins) falling into said age band were last moved.

Related Reading: Glassnode: Bitcoin Holders Realized 14x More Losses Than Profits Recently

The relevant age band here is the 1w-1m group, which includes all UTXOs that were last moved within 1 week to 1 month ago.

Here is a chart that shows how the percentage of the realized cap contributed by this age band has changed over the years:

Looks like the value of the metric has sharply gone up in recent weeks

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