Introduction
In a recent video on the Cheeky Crypto YouTube channel, JB discussed Bitcoin’s on-chain data and its implications for the price of Bitcoin.
On-Chain Data Analysis
JB analyzed a variety of on-chain data metrics, including:
- All-time high: Bitcoin reached its all-time high of $69,044.77 in November 2021.
- Total addresses: There are currently over 44 million Bitcoin addresses.
- Active addresses: The number of active Bitcoin addresses has been declining in recent months.
- Transactions: The number of Bitcoin transactions has also been declining.
- Blocks added: The number of blocks added to the Bitcoin blockchain has been relatively stable.
Wallet Counts
JB also examined wallet counts for various Bitcoin holding levels. He found that the majority of Bitcoin is held by a small number of large wallets. For example, there are only 2,295 wallets that hold more than 1,000 BTC.
Who Controls the Price of Bitcoin?
JB argued that large Bitcoin holders fundamentally control the price of Bitcoin. This is because they have the ability to move the market by buying or selling large quantities of Bitcoin.
Liquidations
JB also discussed liquidations in the last 24 hours. He noted that there was an unusual liquidation pattern on the exchange Huobi. He speculated that this may have been due to a large holder selling Bitcoin.
FTX
JB also mentioned that the team caught FTX about a week in advance. This suggests that they are able to identify potential problems with exchanges before they occur.
Error in Mining Data
JB also mentioned that there is an error in mining data. However, he assured viewers that this is being monitored.
Outlook
JB concluded by saying that he expects a downward move in Bitcoin prices. He believes that this may happen during the FOMC or Fed interest rate meeting.
Conclusion
JB’s on-chain data analysis provides valuable insights into the Bitcoin market. Investors should pay attention to on-chain data metrics when making investment decisions.
