Hyperbitcoinization coming, says Bitcoin OG as ‘wholecoiners’ hit 1 million

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Bitcoin (BTC) has crossed a critical threshold this month. Price doesn’t matter, but “millions of dollars” does.

Data from an on-chain analytics company glass node As of May 18, we have confirmed over 1 million addresses holding at least 1 BTC.

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This has been long overdue and has generated a lot of social media attention, but the time has finally come. There are he million entities that own the entire bitcoin.

According to Glassnode, these “whole coiners” have been steadily increasing since mid-2021, and the upward trend in 1BTC wallets has barely reversed since then.

However, this trend accelerated in 2022, with the number of wholesalers starting the year at 814,000 and ending the year at 978,000, an increase of 20%.

In response, Adam Bach, CEO and co-founder of Bitcoin company Blockstream, claimed that “hyperbitcoinization” is imminent.

If existing trends continue, he argued, the rising price of bitcoin would quickly make buying bitcoin not just a luxury, but a totally unattainable one.

it will be like this he tweeted“If 10 million people want to buy 1 BTC over a few years, the price will be out of reach.”

“And many of the current Hodlers are not selling,” he continued.

“For example, few of the recent wholecoin manufacturers are reselling, probably moving on to their next target for additional bitcoins, and most are looking to buy more.”

Bitcoin: A graph of the number of addresses with a balance of 1 or more.Source: Glassnode

As Cointelegraph reported, existing Bitcoin investors who are long-term market participants have broadly resisted the urge to sell through the recent bear market and subsequent price recovery.

At the same time, the number of short-term holders, or speculators, is increasing in 2023, fueling excitement about the birth of a new Bitcoin bull market.

Whale numbers to halt decline in 2022

On the other hand, Glassnode data shows that whale wallets are stagnating at the other end of the spectrum.

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Companies with assets between 1,000 BTC and 9,999 BTC are showing signs of recovery after the decline since mid-2022.

Meanwhile, over 10,000 BTC entities remain in the range they entered after the FTX collapse last November. There are currently 117 such entities.

Bitcoin: A graph of the number of addresses with balances over 1,000.Source: Glassnode

Observers such as Monitoring Resource’s Material Indicators often note that whales, the largest class, still have the greatest influence on BTC’s price volatility thanks to their trading activity.

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This article does not contain investment advice or recommendations. Any investment or trading move involves risk and readers should conduct their own research before making any decision.