CryptoQuant assessed the accumulation of bitcoins ahead of the halving.
Inflows of bitcoins into accumulation addresses reached a new historical maximum - 27.7 thousand bitcoins in one day.
Analysts at CryptoQuant note signs of asset accumulation by investors and a potential recovery in the price of bitcoin.
"Over the past seven days, the leading cryptocurrency has lost more than 10% in price and shows signs of cooling, however, this correction could herald a new phase of price growth," analysts wrote in a post on X.
Analysts note a record influx of bitcoins into accumulation addresses: 27.7 thousand bitcoins were received at accumulation addresses in one day on April 16 at a BTC price of $63.4 thousand. This is a new historical maximum, surpassing the previous record of 25.1 thousand bitcoins set on March 22, 2024.
Inflows of bitcoins into accumulation addresses. Source: CryptoQuant
Accumulation addresses are characterized by not making outgoing transactions, holding balances of more than 10 BTC, not being associated with centralized exchanges or miners, receiving at least two incoming transactions, and showing activity over the past seven years. A surge in inflows to such addresses often signals bullish sentiment in the market.
Bitcoin inflows to exchanges. Source: CryptoQuant
Experts also point to a sharp increase in cryptocurrency withdrawals from exchanges, which has not been observed since January 2023. According to CryptoOnchain, the surge in bitcoin withdrawals may be preparation for the upcoming halving. Such behavior is usually associated with long-term investors accumulating coins in anticipation of price increases.
Open interest in bitcoin. Source: CryptoQuant
Another sign of temporary market stabilization, experts believe, is the decrease in open interest in bitcoin from $18 billion to $14.2 billion on derivative exchanges. This change indicates a reduction in traders' use of leverage in trading. According to Coinglass, a service tracking trader activity on major platforms, amid escalating conflict in the Middle East, traders' positions worth more than $1 billion were liquidated on crypto exchanges. Most of them were betting on bitcoin's price increase.
Matt Hougan, Bitwise's investment director, the issuer of the bitcoin spot ETF BITB, suggested that the reduction in the issuance of the leading cryptocurrency after the halving, growing demand from bitcoin exchange-traded funds (ETFs), and concerns about inflation would catalyze bitcoin price growth.
