$1.7 B BTC Accumulation by Whales with Bitcoin Halving FOMO

NAIROBI (Coinchapter.com) – A record-breaking $1.7 billion flowed into BTC accumulation addresses between April 16 and 17, setting a new milestone for daily accumulation. CryptoQuant data reveals that 27,700 BTC flowed into these wallets. This suggests deep-pocketed investors seized the opportunity to buy Bitcoin as its price briefly dipped below $63,000.

The previous accumulation record was set on March 23, when 25,500 BTC worth around $63,500 at the time was transferred to accumulation addresses. This data highlights a sustained pattern of motivated buying around the $63,000 price level, indicating that large, dedicated investors maintain confidence in accumulating and holding Bitcoin for the long term.

An accumulation address is a Bitcoin wallet that has no previous withdrawals and holds a balance of over 10 BTC, excluding wallets affiliated with miners and exchanges.

Bitcoin Price and Network Fundamentals

At the time of writing, Bitcoin is trading at $64,946, up 3.74% over the last 24 hours. Its market capitalization stands at $1.27 trillion, while the fully diluted valuation is $1.36 trillion. BTC currently trades 12.30% below its all-time high of $73,797, which reached March 14, 2024. However, it sits 8.45% above its recent cycle low of $59,674 on April 19, 2024.

BTC/USD price chart. Source: Messari

Network fundamentals remain strong, with total transactions over the past 30 days reaching 13.3 million, a 12.15% increase compared to the previous period. Additionally, total transaction fees over the same timeframe amounted to $113 million, up 32.16%.

Bargain Buying Window Closes

The recent dip in Bitcoin’s price triggered a buying spree ahead of the halving. Rekt Capital, a prominent crypto trader, observes a pattern similar to previous halving cycles and suggests that this dip represents the last chance to accumulate Bitcoin at more favorable prices.

Rekt Capital noted that Bitcoin’s price action is following a similar pattern to previous halving cycles, with the recent 14% dip from its all-time high of $73,600 representing an expected “pre-halving retrace.”

BTC Accumulation Surges with Halving-Driven Price Dynamics

Rekt Capital predicted that Bitcoin could enter a “re-accumulation phase” following the highly anticipated halving event scheduled for April 20. This phase, which could last up to 150 days, is often characterized by sideways price action and investor impatience before a potential breakout into a “parabolic uptrend.”

Bitcoin Halving. Source: TradingView

Rekt Capital’s analysis shows a pattern: pre-halving retraces were 38% deep in 2016 and 19% deep in 2020. This suggests a final bargain-buying opportunity before the current halving event.

CryptoQuant’s accumulation data suggests that Bitcoin whales and long-term holders are positioning themselves for potential upside. Rekt Capital’s analysis supports this view, suggesting the halving event could trigger a supply squeeze and drive BTC’s price higher.

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