Glassnode data reveals that all wallet cohorts are currently in distribution mode, with a net selling of bitcoin, as indicated by the Accumulation Trend Score breakdown by wallet cohort.
The Accumulation Trend Score metric provides a detailed analysis of the behavior of different wallet groups. It assesses the level of accumulation for each balance size by considering both the entities’ size and the volume of coins acquired over the past 15 days. This metric helps identify whether a cohort is accumulating or distributing bitcoin.
Exchanges, miners, and similar entities are excluded from the calculation to ensure a more accurate representation of the market sentiment. Currently, all wallet cohorts, ranging from those holding less than one bitcoin to those holding over 10,000 bitcoins, are net sellers. This shift in behavior comes after a recent rally where some whale investors, particularly in the 10-100 BTC and 1,000-10,000 BTC cohorts, were observed buying. However, they have since reversed their positions and are now selling.
At the time of writing, Bitcoin was trading near $117,000 following a bullish trend during Asia’s trading session, which saw the price rise from $115,000 over the weekend. Data from Velo indicates that Asia has consistently driven Bitcoin’s price up by approximately 10% over the last three months. In contrast, the European trading session has experienced pullbacks, with Bitcoin down more than 10% in the EU market over the same period.
The overall market sentiment remains in a consolidation phase, with this trend likely to continue through September. Based on current data, the $107,000 level established at the beginning of the month appears to be the most probable support level for Bitcoin in the near term.
In conclusion, the analysis of wallet cohorts’ behavior and the current market trends suggest a cautious approach for Bitcoin investors in the coming weeks. Stay tuned for further updates on Bitcoin’s price movements and market dynamics.