CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • CryptoPotato Crypto Fund
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • bitcoin
    BTC$23,279.00
  • ethereum
    ETH$1,710.91
    • Market Updates
    • BTC Analysis
    • ETH Analysis
    • XRP Analysis
    • Interviews
    • Crypto Fund
    CryptoPotato
    CryptoPotato
    • Crypto News
    • Margin Trading
    • Guides
      • Bitcoin & Crypto Guides 101
      • Bitcoin For Beginners
      • Editorials
    • DeFi & NFT
    • Buy
    • Language
    • Crypto News
    • Bitcoin For Beginners
    • Cryptocurrency Guides 101
    • Editorials
    • Bitcoin & Crypto Margin Trading
    • DeFi & NFT News
    • Bitcoin Price Analysis
    • CryptoPotato Crypto Fund
    • Ethereum (ETH) Price Analysis
    • Ripple (XRP) Price Analysis
    • Market Updates
    • Interviews
    • Buy Bitcoin with Card
    Home » Crypto News » Bitcoin Price Primed For a Leg Up as Demand and On-Chain Data Favorable, Analysis

    Bitcoin Price Primed For a Leg Up as Demand and On-Chain Data Favorable, Analysis

    Author: Jordan Lyanchev

    Last Updated Apr 12, 2021 @ 19:13

    The demand for bitcoin only increases, while miners and long-term holders refute to sell – is BTC preparing for another run towards a new ATH?

    Although bitcoin’s price continues to struggle at $60,000, on-chain data indicates several bullish developments for the primary cryptocurrency. Institutional investors have only intensified their purchases, long-time HODLers and miners refuse to sell, and the BTC stored on exchanges keeps declining.

    On-Chains Data Suggests Skyrocketing BTC Demand

    As CryptoPotato reported before, the number of bitcoins held on cryptocurrency exchanges has been declining for a while. More specifically, the BTC balance stored on trading venues reached a high in mid-March 2020, when the asset’s price slumped by 50% in a day and has plummeted since then to new yearly lows.

    CryptoQuant data confirmed this statistic recently, indicating that bitcoin investors are in no rush to deposit their holdings. Just the opposite, there’re roughly 2.2 million coins held on exchanges, which is less than 12% of all circulating bitcoins.

    BTC Stored on Exchanges. Source: CryptoQuant
    BTC Stored on Exchanges. Source: CryptoQuant

    Separately, further data informed that long-term holders and miners have seized selling their assets too. Miners sometimes have a direct impact on BTC’s price as when they sell in bulk, the asset falls hard.

    Such was the case in early March when bitcoin slumped by more than $5,000 in a day when they sold massive quantities. However, this doesn’t seem to be the case now as miners have turned to HODLing instead.

    ADVERTISEMENT
    Bitcoin Miners Behavior. Source: CryptoQuant
    Bitcoin Miners Behavior. Source: CryptoQuant

    Institutions’ Appetite Intensifies

    Simultaneously, institutional investors’ demand for the primary cryptocurrency keeps enhancing. Glassnode data showed that 12,638 bitcoins were withdrawn from the largest US-based digital asset exchange Coinbase in ten minutes.

    This amount equals $760 million, with BTC’s price currently hovering just over $60,000. Previous examples have indicated that the asset tends to appreciate in value following similar substantial withdrawals from Coinbase.

    Bitcoin Withdrawals from Coinbase. Source: Glassnode
    Bitcoin Withdrawals from Coinbase. Source: Glassnode

    Last but not least comes Mike McGlone, a senior commodity strategist at Bloomberg. While asserting that bitcoin is still in price-discovery mode and the current “plateau appears distant,” McGlone also outlined the cryptocurrency’s declining supply and highlighted the rising demand.

    These developments are “leading us to expect continued price appreciation and the establishment of a higher plateau as the crypto matures.”

    It’s worth noting that McGlone and several other Bloomberg researchers predicted a considerable 8x surge from BTC’s current price level to $400,000 as reported during the weekend.

    SPECIAL OFFER (Sponsored)
    Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

    PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to receive up to $7,000 on your deposits.

    You Might Also Like:

    • roller_coaster_cover
      Rollercoaster: $340M Long Positions Liquidated as Bitcoin Price Crashed $3000 In Hours
    • elon_musk-min
      Elon Musk Puts Bitcoin as His Twitter Bio: BTC Price Spikes $5000
    • Bitcoin mining
      Bitcoin Miners Hit Jackpot as Hash Rate Peaks Again
    Tags: Bitcoin Bitcoin (BTC) Price Bitcoin Mining
    Enjoy reading? Share with your friends
    Facebook Twitter LinkedIn Telegram

    About The Author

    Jordan Lyanchev
    More posts by this author

    Jordan got into crypto in 2016 by trading and investing. He began writing about blockchain technology in 2017. He has managed numerous crypto-related projects and is passionate about all things blockchain. Contact Jordan: LinkedIn

  • bitcoin
    BTC$23,279.00
  • ethereum
    ETH$1,710.91
  • Join Our Community

    FacebookTwitter YouTubeTelegram


    Editorials
    Users in Web3 Will Do a lot More Than Just Trade Crypto: Cronos’ Ken Timsit (Interview)

    Users in Web3 Will Do a lot More Than Just Trade Crypto: Cronos’ Ken Timsit (Interview)

    Institutions Are Starting to Buy Back: Interview with Nansen

    Institutions Are Starting to Buy Back: Interview with Nansen

    Top 5 Most Common Scams Related to Ethereum 2.0

    Top 5 Most Common Scams Related to Ethereum 2.0

    What is the Merge? What You Need to Know About the Transition to Ethereum 2.0

    What is the Merge? What You Need to Know About the Transition to Ethereum 2.0

    These are the Bear Market Benefits, and the Future of NFTs: DappRadar CEO (Interview)

    These are the Bear Market Benefits, and the Future of NFTs: DappRadar CEO (Interview)

    5 Common Mistakes to Avoid During a Crypto Bear Market

    5 Common Mistakes to Avoid During a Crypto Bear Market

    The Cardano Roadmap Eras Explained: Byron, Shelley, Goguen, Basho, and Voltaire

    The Cardano Roadmap Eras Explained: Byron, Shelley, Goguen, Basho, and Voltaire

    Join Our Newsletter
    Become a CryptoPotato VIP
    One Weekly Email Can Change Your Crypto Life.
    Sign-up FREE to receive our extended weekly market update and coin analysis report
    We NEVER send spam. You can unsubscribe at any time.
    Invalid email address
    Thanks for subscribing!
    Footer Logo
    About
    Advertise on CryptoPotato
    About Us | Contact Us | Careers

    Terms of service | Privacy Policy | GDPR
    More Sections
    IEO List | Evaluations
    Airdrops
    Scholarship
    Cannabis Stocks News | Market Analysis
    Disclaimer
    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
    © Copyright CryptoPotato 2016 - 2021
    Scroll to top
    One Weekly Email Can Change Your Crypto Life.

    Sign-up FREE to receive our extended weekly market update and coin analysis report

    We never send SPAM. You can unsubscribe at any moment
    Invalid email address
    Thanks for subscribing!