Prior to the beginning of the next bull run, Bitcoin’s “a key trio to watch” study has been made public by Santiment, an on-chain data agency. The flagship cryptocurrency’s price is now hovering just around $27,300, and many people are debating whether it will recapture $30,000 or return below $25,000 at this point.
Three important metrics to watch for on BTC
The Santiment analytics team focused on three key metrics: trade volume, currency circulation, and BTC wallet activity.
Santiment reaffirmed to the community the significance of usefulness in examining the rise in the number of transactions between wallets and the growth of a cryptocurrency’s market capitalization. Price increases, especially significant ones, are short-lived without a rise in this component.
Santiment published a study of the three measures above in relation to the three-month BTC increase that occurred at the beginning of 2023.
The trade volume for bitcoin fell sharply after rising past the $25,000 mark on March 14. The trade volume dropped down to its lowest level since the beginning of this year as the price of BTC crossed the $30,000 threshold.
The number of unique wallets that communicated on the Bitcoin network showed a little increase, in contrast to trade volume. According to Santiment, the number of BTC wallets climbed far higher during the BTC rise this year than it did during other bull runs, such as those in 2020 and 2021. While the price rose by 65%, the number of active wallets has climbed by 11% so far in 2023.
The network’s BTC coin circulation does not appear to be as exciting as wallet activity. After Bitcoin’s price dropped after a little increase in the middle of March, its circulation drastically decreased.
When compared to this figure on January 1, when Bitcoin was trading just around $17,000, the quantity of BTC exchanged daily is currently 6.4% less.
Bitcoin dormant whales are awakening
Three inactive Bitcoin wallets awoke within the past week after being idle for almost ten years, according to on-chain cryptocurrency tracker @lookonchain. They shifted 8,199 BTC totaling $225 million, very certainly for selling.
However, the fourth wallet that was revived included a staggering 79,957 Bitcoin valued at about $2.20 billion at the time. Twelve years ago, when this Bitcoin was initially sent to this address, it was only worth $0.93.
It is not only about Bitcoin wallets; during the past week or so, a number of inactive Ethereum addresses that bought ETH during the ICO have also reawakened.
