The downtrend of Bitcoin prices on Monday made many investors believe that the bull market is over. But a recent piece of data shows that large Bitcoin investors known as whales kept buying during Monday’s Bitcoin price downturn, which shows that they are confident in the continued bull market.
The data shows that the number of Bitcoin whale entities (single network participants holding at least 1,000 Bitcoins) is 2,140. There was a massive sell-off in the Bitcoin spot market on Monday, which pushed the price down this time and made the transaction volume a record. However, this has not stopped large players from keeping accumulating this cryptocurrency. Most analysts believe that the decline in demand indicates that large investors expect the price drop to be short-lived. Because in the previous bull market, Bitcoin’s correction rate exceeded 20%. In addition, compared with the previous bull market, the recent bull market was backed by institutional funds, so occasional price drops are unlikely to scare away whales. The number of whale addresses has increased by nearly 25% year-on-year and has increased by 200 in the past two weeks. As pointed out by Rafael Schultze-Kraft, CTO of the blockchain analytics company Glassnode, with the healthy development of the network and the bullish bias of other on-chain indicators, the bull market may soon resume. In addition, the seller’s liquidity problem that fueled the third quarter’s skyrocketing may continue to exist, because 78% of all bitcoins (14.5 million in total) are now illiquid. Glassnode said in a recent report: “Because the number of bitcoins that can be purchased in the future decreases, bitcoins are potentially bullish in the coming months.” The data provided by Glassnode also showed that the number of addresses holding less than 0.01 BTC dropped slightly from 8.54 million to 8.53 million, indicating that some retail investors and weak hands (Refers to investors who lack confidence or have long-term asset resources) have liquidated their positions. It’s worth noting that because a person or entity may have multiple addresses, address-based indicators are not completely accurate.
As of press time, according to ZB.com’s official market data, Bitcoin is currently trading at $32,818, a 24-hour decline of 6.45%, and the 24-hour price range is from $32,378 to $36,643.
DOJ (The U.S. Department of Justice) announced on Tuesday that due to a lawsuit executed last year, Visa has now cancelled the acquisition of the financial technology company Plaid, which serves as a legal bridge for many encryption and decentralized finance (DeFi) applications. DOJ filed a civil antitrust lawsuit on November 5, 2020 to prevent the merger of the two companies. It also claims that Visa is a monopoly in the field of online debit cards, charging consumers and merchants billions of dollars in online payment fees every year.
Similarly, the SEC (The U.S. Securities and Exchange Commission) announced on Tuesday that Marc Berger, acting director of law enforcement, will resign this month. After former director Stephanie Avakian resigned at the end of 2020, Berger assumed the top SEC position. Berger presided over the SEC’s suit against Telegram’s initial token offering and the initiation of an unregistered securities lawsuit against Ripple Labs.
Recently, the UK Treasury Department issued a consultation document to collect feedback from stakeholders on the government’s regulatory approach to cryptocurrencies and stablecoins. The document consulted on how the United Kingdom can ensure that its regulatory framework can take advantage of the benefits of new technologies, support innovation and competition, while mitigating consumer risk and stability, and incorporates the recommendations of the Crypto Assets Working Group. As a large part of encrypted assets are not regulated, the UK Treasury Department stated that they may pose risks to consumers and lack financial protection.
About ZB Group
ZB Group was founded in 2012 with the goal of providing leadership to the blockchain development space and today manages a network that includes digital assets exchanges, wallets, capital ventures, research institutes, and media. The Group’s flagship platform is ZB.com, the industry leading digital asset exchange. The platform launched in early 2013 and boasts one of the world’s largest trading communities.
ZB Group also includes ZBG the innovative crypto trading platform, and BW.com, the world’s first mining-pool based exchange. Other holdings include wallet leader BitBank.
Industry intelligence and standards are headed by the recently launched ZB Nexus who embody the core values of ZB Group and open-source their reports and analysis for the public.
Learn more about ZB Group by visiting www.zb.com