According to a study conducted by Delphi Digital, in 2020 there were conditions for more sustainable and reliable growth of Bitcoin than there were in previous years.
The researchers came to the conclusion that in 2019, the amounts of Bitcoins being kept on exchanges experienced growth during the growth of the Bitcoin rate, and this the situation turned the other way around – there are ever more less BTC on the wallets kept by cryptocurrency exchanges, despite the noted growth in the rate. This shows that Bitcoin holders are not trading away their assets, but rather await even higher prices.
“This signifies a more stable growth in the BTC exchange rate than what we saw in 2019. The raw data shows that BTC holders are aimed at long-term storage of coins. Every time when the exchange rate increases and the supply falls, this is a sure sign for an accumulation trend, ” highlighted the researchers.
In February, the report noted there were 2.96 million BTC held by their owners in the wallets of cryptocurrency exchanges, but nowadays that amount has dropped to 2.59 million.
Furthermore, according to Delphi Digital, even though there were no significant sell-outs of BTC by miners, they always found buyers, which signifies a “healthy” situation on the market of the first cryptocurrency.
CryptoQuant CEO Ki Young Ju recently also shared his thoughts on this topic. He noted that the number of Bitcoins sold by miners has spiked recently but assured that this won`t be able to prevent the next bull run.
