Bitcoin witnesses multi-month high as more than 320,000 addresses prove strong support

Bitcoin, the leading crypto asset, has recently stabilized near its past highs, with data showing that more than 320,000 active addresses are involved in transactions in the current price range.

Bitcoin started the week with strength, reaching a multi-month high of $69,500, but failed to break through the key $70,000 mark. The cryptocurrency is currently trading 7.37% below its all-time high of $73,737 set on March 14, 2024.

Notably, data from IntoTheBlock shows that when Bitcoin was approaching its previous all-time high, there were more than 320,000 active addresses trading within this price range. Of these active addresses, approximately 220,000 made purchases at an average price of $68,500.

This suggests the presence of a strong support base as many investors hold profitable positions at this price level. Notably, profitability persisted throughout all buying ranges above $60,000, suggesting that long-term holders have confidence in Bitcoin.

Institutional money accumulation drives prices higher

In addition to retail investor interest, institutional investors have also played a major role in the recent price increase. Data from Lookonchain shows that Blackstone Group’s iShares Bitcoin Trust (IBIT) added 16,975 bitcoins, with a total value of approximately $1.17 billion.

This accumulation occurred while Bitcoin’s price was rising by 8%, indicating a correlation between institutional buying activity and the recent price rally.

Further data from The Data Nerd confirms the trend, with Bitcoin exchange-traded funds (ETFs) accumulating 32,370 Bitcoins worth approximately $2.13 billion over the past week. Among them, IBIT was the most significant buyer, followed by Fidelity Wise Origin Bitcoin Fund (FBTC), which added 5,000 bitcoins.

Growing confidence in Bitcoin

Blackstone’s recent accumulation coincides with comments from CEO Larry Fink, who has emphasized the legitimacy of Bitcoin as an asset class. Fink noted that the growth of the cryptocurrency market is driven by factors such as transparency, liquidity and enhanced analytical capabilities, rather than political influence.

He noted that neither Donald Trump’s presidency nor Kamala Harris’ potential leadership would have a huge impact on Bitcoin’s price action. Instead, Bitcoin has emerged as a new asset class, similar to gold, indicating a shift in asset allocation among institutional investors.

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