Bitcoin's accumulator addresses, which represent long-term investors, saw a significant increase in demand in December with a net acquisition of 225,280 BTC. This marks an 82.6% monthly increase. At the same time, the total sell-side liquidity on exchanges and exchange-traded funds decreased by around 590,000 BTC, with a steep contraction between December 22 and 23. The supply on over-the-counter trading desks also decreased. However, new investors are absorbing the supply, as the number of short-term holders increased by 3% over the past week. Despite a correction, Bitcoin is expected to regain composure and continue its upward movement. However, caution is advised as the supply of Tether USD is decreasing while the supply of BTC is slightly increasing, potentially indicating further downside in the future.



Other News from Today