According to on-chain analytics provider Glassnode, there are nearly one million addresses holding more than one Bitcoin, with the number of “wholecoiner” addresses doubling since mid-2016. During the last peak, it plateaued at slightly over 800,000 addresses, but it has increased since late 2022 and into 2023 as investors accumulated Bitcoins.
With more than 56 million millionaires worldwide, it is remarkable that only one million people hold more than one Bitcoin. However, since BTC’s current price is around $28,000, it would take quite some time before a single coin could make its holder a millionaire!
Binance CEO Changpeng Zhao made this observation on April 6, 2023.
There are more than 56 million millionaires in the world, and only 1 million people with more than 1 bitcoin. Do the math. pic.twitter.com/H6suIxRkj2
— CZ 🔶 Binance (@cz_binance) April 5, 2023
Bitcoin Scarcity and Its Effects on Demand
Another curious observation made by crypto advocates is dividing the total supply of Bitcoins by the world’s population, which works out to around 0.002616 BTC per person. Therefore, those holding more than a single coin are truly a rarity.
The asset’s scarcity due to its finite supply has traditionally been a driver of demand. This has been evident during previous cycles, which are catalyzed by halving events.
The next Bitcoin halving is expected to occur between April and May 2024, depending on what counter is used. The current block reward of 6.25 BTC will be halved to 3.125 BTC, which will decrease issuance and increase the asset’s scarcity.
Bitcoin markets have already reached a transition or inflection point, with slow grind higher likely to continue this year, if history is anything to go by, as reported by CryptoPotato. The real bull rally is expected to follow the halving event and occur in the latter half of 2024 based on previous cycles.
Glassnode has included the Bitcoin fear and greed index in its charts to determine market sentiment and compare it to previous peaks and troughs. The sentiment is currently in a state of “greed” after Bitcoin’s 25% gain over the past month.
We have recently added the #Bitcoin Fear and Greed Index, which is now firmly within Greed territory.
Will this rally push $BTC into Extreme Greed like 2019, and 2021?
Or be overwhelmed by resistance like March 2020, or the 2022 deleveraging?
— glassnode (@glassnode) April 5, 2023
Bitcoin Price Expectations
Bitcoin prices have been consolidating for almost three weeks now and have seen little movement since March 18. At the time of writing, the asset has fallen 1.4% to $28,094, according to CoinGecko, with support at the $27,000 level, where it fell on March 28. The longer-term resistance is at $30,000, a price not seen since early June.
