Bitcoin Sharks Disappear! Fresh Lows are about to attack

by James · November 29, 2022

Bitcoin sharks disappear and bitcoin traders fear that Bitcoin prices could plunge more

Bitcoin sharks disappear as numbers fall 80% in a year. According to the latest data from on-chain analytics firm Glassnode, there are now only 23,000 wallets with a BTC balance of one million dollars or more. Bitcoin millionaires are sure to feel the pinch of this volatile bear market.

The 2017-2019 shutdowns, according to Jake Wujastyk, VP at TrendSpider LLC, are an “inevitable area” for Bitcoin sharks, the biggest cryptocurrency to test. Wujastyk adds that there is a good chance that Bitcoin prices could go down again. Bitcoin ended December 2017 at USD 13,880, down from USD 19,666 at the peak of the last bull run. Shortly after hitting the charts, the cryptocurrency suffered a severe bear market. In the first half of 2022, Bitcoin experienced a significant rise, reaching an annual high of US$13,880 in July 2019. Bitcoin prices indicate how much the crypto market has fallen from its peaks.

Wujastyk reported earlier this month that Bitcoin has established a bear flag pattern. At the time of writing, the largest coin on the Bitstamp platform was trading at $16,561. The crypto king has now fallen by more than 76% from its all-time high of $69,044 set in November.

Last month, famous trader Peter Brandt stated that there was still a chance that Bitcoin could fall to zero. The astonishing downfall of the FTX exchange has caused significant damage to cryptocurrency credibility. In a recent Wall Street Journal opinion piece, American businessman Andy Kessler suggests that the final price of cryptocurrency could be $0.

According to Glassnode, which analyzes different cohorts of BTC wallets, there were 23,245 with a balance of more than $1 million as of November 25.

In comparison, there were 112,898 “millionaire” wallets on November 8, 2021, when the number peaked when BTC/USD reached its current all-time high of $69,000.

Such addresses have declined in tandem with the spot price, with owners selling at various stages throughout Bitcoin’s year-long bear market.

According to statistics from Cointelegraph Markets Pro and TradingView, the number of millionaires in the wallet has decreased by about 79% during that period, while BTC/USD has had a maximum move of 77% this month.

Meanwhile, as Cointelegraph observed, the scenario in BTC looks a little different. Certain types of wallets have rallied after the FTX meltdown.

Furthermore, as the co-founders of trading suite Decentrader pointed out last week, exchange customers withdrawing cash to private storage and consolidating wallets are most likely responsible for the significant increase in wallets with 1 BTC or more.

As of November 27, there were over 952,000 of them, a new high in Bitcoin history.

Nevertheless, Glassnode reveals that even the lowest classes of investors – those with 0.01 BTC or more in their wallets – have increased in number recently.

Overall, addresses with a non-zero balance have declined since November 18, according to statistics – a rather unusual trend break last observed in April 2021.

Bitcoin investors are not the only ones who have given up in the current market. Bitcoin miners are trying to stay profitable in the face of falling prices.

Because Bitcoin miners are under financial pressure to remain profitable, the BTC mining hash rate suffers. A decrease in Bitcoin’s hash rate hinders BTC transactions. Block times exceeded 11 minutes, according to the HashRate Index.

Despite the current obstacles, many feel surrender is necessary for the next bull run to begin. According to Glassnode, with so many organizations now at a loss at this point of the bear market following the FTX crash, Bitcoin and broader market sentiment will need to recover to inspire new money to drive a bull run. If sentiment does not improve, the surrender may fall short of previous Bitcoin cycles.

Bitcoin had $10.8 billion in 7-day realized losses in November. The highest realized loss in Bitcoin’s history occurred in June 2022, when USD 19.8 billion was recorded. Such losses indicate that a large amount of Bitcoin has changed hands at reduced prices.

Popular crypto investment saying is “you can’t lose if you don’t sell.” Unrealized losses are calculated by comparing the total market value to the total market value of the Bitcoin market. The unrealized loss of 56% in November 2022 is the highest in today’s bear market. Unrealized losses for Bitcoin holders reached an all-time high of 86% in 2014-2015. The current unrealized losses rank fourth in Bitcoin history.