Bitcoin Accumulation Addresses Surge: What It Means for Investors
Cryptoslate•5 months ago•
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Bitcoin Accumulation Addresses Surge: What It Means for Investors

Market Sentiment
bitcoin
accumulation
halving
investment
markettrends
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Summary:

  • Bitcoin's accumulation addresses have seen a notable decline in 2024, after peaking at around 846,000 in early 2024.

  • Post-halving in April, these addresses dropped below 815,000, indicating potential liquidations by holders.

  • A recovery began in May, stabilizing around 822,000 by August, reflecting cautious long-term holder behavior.

Onchain Highlights

DEFINITION: Accumulation addresses are defined as addresses that have at least 2 incoming non-dust transfers and have never spent funds. Exchange addresses and addresses receiving from coinbase transactions (miner addresses) are discarded. To account for lost coins, addresses that were last active more than 7 years ago are omitted as well.

Bitcoin’s accumulation addresses have experienced a notable decline in 2024. Historically, these addresses steadily increased, reflecting long-term holder confidence as Bitcoin’s price appreciated over the past decade.

By 2022, accumulation addresses almost surpassed 800,000, growing further in 2023 to a peak of around 846,000 at the start of 2024.

BTC: Number of Accumulation Addresses: (Source: Glassnode)

However, following the halving in April, accumulation addresses saw a sharp drop, dipping below 815,000 by March. This decline coincided with Bitcoin’s price pullback from its March highs, suggesting that some holders may have liquidated or reduced their positions as the market adjusted to the new supply conditions.

A slight recovery in these addresses began in May, with numbers stabilizing around 822,000 by August. The overall trend reflects the cautious approach by long-term holders amid a volatile post-halving environment.

BTC: Number of Accumulation Addresses: (Source: Glassnode)

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