Bitcoin in Circulation Moving to 'Strong Hands'
Bitcoin might be trading at near all-time highs, recently breaking above $64.5k. While at it, there is an exciting development as far as coin swapping hands is concerned. One, coins are moving from exchanges at a record pace, and BTC held by custodial exchanges is at record lows. Second, coins are moving from ‘weak hands’, mainly speculators, to ‘strong hands’ or HODLers.
This shift of demand indicates that more people are optimistic about Bitcoin's prospects, instead preferring to HODL than sell. It is an opportunity for traders, both spot and derivatives, who can trade with the primary trend by accumulating their positions in anticipation of price gains. Generally, traders expect a lift-off to six-digits in the next few months.
Impact on the BTC Price:
Bullish. The more there are bulls, the higher the chances of BTC/USD prices rallying. Year-to-date, the Bitcoin price has more than quadrupled, spearheading the surge of digital assets. If on-chain stats guide--and more HODLers are in the equation, there could be room for more upsides.
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