Bitcoin’s Mean Dollar Invested Age Stagnates As 370K New Wallets Join Network

In the world of cryptocurrency, particularly Bitcoin, investors and traders are anxiously waiting for signs of another great bull run like those seen before. The Mean Dollar Invested Age is often closely analyzed by analysts who are looking for a key indicator that traces the average time an asset has existed in a particular wallet, as reported by Santiment, a leading cryptocurrency analytics platform.

When there is an increasing line on Mean Dollar Invested Age graph, this implies that investments have become stagnant because older coins stay put in their wallets. On the other hand, declining lines show investments coming back to life within the network, thus indicating increased activity in the blockchain.

Bitcoin has constantly shown a falling Mean Dollar Invested Age line during bullish cycles, especially in the middle of major market booms. Like most of such other things that are here before us, Bitcoin actually did this from late October until March came to a close and it became 133% expensive.

Despite the upcoming halving event, Bitcoin’s Mean Dollar Invested Age line has stagnated in the past few weeks. It is being suggested by analysts that for an upward trend in bitcoin price to remain intact, there would need to be significant stakeholders taking their coins back into the system.

Rapid Growth: 370K New Bitcoin Wallets Enter the Fray

Additionally, Santiment has also reported that there is a sudden rise in the number of wallets holding active Bitcoin. The network saw an increase of 370,000 wallets with non-zero balance within six days only representing 0.7% growth rate. This trend will continue towards halving event.

Coincidentally, discussions about Bitcoin on social media have reached their climax this week when it is just less than one week for halving to take place. In addition, Santiment’s analysis shows that social dominance increases significantly in scenarios related to the halving and serves as a high-confidence indicator that price reversals in crypto markets are approaching. However, there may be no impact on market trends due to such spikes if we consider how quiet the markets have been over the past few days.

⌛️🗣️ As #Bitcoin has now drawn to its final week before the #halving, social dominance toward the topic has peaked at its highest level of the year at 9pm UTC. The spikes in this topic should be received as high confidence price reversals for #crypto markets. Markets have been… pic.twitter.com/U2dOujjhLj

— Santiment (@santimentfeed) April 12, 2024