While bitcoin continues its roller-coaster ride towards the top. It’s also gaining rapid popularity. On Friday, the overall existing bitcoin address created a new milestone. The number of active bitcoins addresses with bitcoin in them hid an all-time high of 36,896,000. All these addresses were non-zero bitcoin addresses making a huge milestone.
Soon after this happened, on Sunday, the numbers dropped back to 36,770,000. This report generated through a data analysis done by the Glassnode. The cause is assumed to be cryptocurrencies and blockchain demand. It is already becoming a mainstream investment platform for many. And with such monumental achievements, the crypto market is all set to hit new records. Speculators suggest that this bitcoin will also tear this milestone very shortly.

More insight

As per research conducted about how many bitcoin addresses have over 1000 bitcoins. The researchers found that there were more than 2300 addresses before December. The number dropped by 3.7% in December to around 2200. In January the number increased to about 2400. People with 1000+ bitcoins in their account are called “whales.” The average value of 1000 bitcoin was around $37.5 Million in that month. The increasing number of whales in the market also indicates bullish trends.

Does this Affect the Price?

Considering so much happening, does this affect the price of bitcoin in any way? Let’s find out. In 2018, in bitcoin’s last bull run, the total number of bitcoin addresses was around 28 Million. But as the price dropped to $6000 the number fell sharply to approximately 7 Million. This was only 25% of the previous figure.
But, after that, no research could find any relation between these two variables. Because the price kept fluctuating, but the number of addresses kept increasing. The number of active non-zero addresses increased rapidly. But the numbers boomed after BTC surged by 50% in MAR 2020.

What is different in both Scenarios?

Although both the markets were similar, as there were no fundamental differences. But, after this fall, bitcoin was already becoming more than just a fancy currency. Due to its rising acceptance, BTC created value for itself. Soon after, multiple crypto ATMs were opening around the world. As per reports, since 2018, the number of such machines increased by 750%.
Soon after, companies like Microsoft and Tesla started accepting bitcoin. Companies like PayPal and Square are providing crypto services and payments.
After research, it was clear that bitcoin is no longer affected by the number of active addresses. So, the change in number will never have any substantial effect on this currency’s price. Since the crash of 2017-18. Bitcoin has steadily increased its financial sector footprint to an extensive level. With that, we can say that it is implausible to shake seeing a decreasing number of active users. What’s more, many experts say that bitcoin is yet to reach its full potential.
Kayla Turner
Kayla Turner

Kayla is an adept article writer with vast hands-on experience in cryptocurrency and technology. She is outgoing and always looking for new challenges to conquer. Over the years, she has gain massive traction online for writing stellar content on cryptocurrency and blockchain technology in a crispy and easy to understand style. When she is not writing for the web, she loves spending quality time with friends, colleagues, and her family indoors and outdoors. Be sure to check out his profile online for more invigorating articles.