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Waiting For The Rally: More Than 20 Million Investors Hold Bitcoin From Selling

Despite the cryptocurrency collapse in March, Bitcoin-scammers continue to believe in a large-scale upward movement of Bitcoin prices, and they are in no hurry to say goodbye to their assets. How advantageous is this strategy in the context of the current Bitcoin consolidation?

Silence before bull run Bitcoin

Halving Bitcoin in May 2020 once again provoked a decrease in trading activity on crypto exchanges. Today, there is relative calm in the crypto space, as many investors adhere to the strategy of holding a crypto asset. As previous experience shows, after halving, the bulls after some time led Bitcoin to new record highs.

Bitcoin consolidation over the past 2 months has been stably maintaining within $9,000. Several times, Bitcoin made a shift towards the support level of $8,900, and vice versa bounced up as close as possible to the resistance level of $10,000. This market behavior of Bitcoin prompts investors to the idea that the bull run model could be repeated in 2020.

The number of Bitcoin holders has reached 20 million

According to the latest data, investors began to actively accumulate Bitcoin 12 months before the third halving. It announced by Daniel Ferraro, an expert from IntoTheBlock. During the year, the number of addresses with the so-called “sleeping bitcoins”  has risen sharply. These assets are waiting that the price jumps so much that their owners will receive good dividends from the sale.

The number of holders has not decreased even after the collapse of the cryptocurrency market in May. Despite the disappointing forecasts, the scammers refused to sell their stocks despite the unstable financial situation in the world caused by the spread of the pandemic.

Daniel Ferraro noted the following:

“Today we see tremendous restraint inactions on the part of investors: the number of holders has reached 20 million. Over 4.7% of these scammers have not conducted transactions with Bitcoins more than once during 4.7 years. It stores at their crypto addresses. ”

The current consolidation of Bitcoin can play both in favor and to the detriment of Bitcoin. Today, it is still difficult to determine the trend along which the price of the flagship cryptocurrency will continue to move. If Bitcoin can overcome the resistance level of $10,000. It is possible that in a relatively short time, the crypto asset will reach the level of $11,500 and above.

But there is another side to the coin: if Bitcoin breaks the level of $8,900, it may slide to the support level of $7,700. In this scenario, cryptanalysts are in a hurry to reassure traders because, as a rule, Bitcoin, when falling, builds up strength and bounces like a spring far up.