The last month has been a relatively difficult time for Bitcoin (BTC) given its poor performance with each passing week. The king coin has been witnessing a weak price action and doesn’t indicate any chances of recovery anytime soon.
At press time, the token was trading at a red value of $35,816 with the Awesome Oscillator functioning below the zero line. The Relative Strength Index (RSI) further tried making its mark toward the neutral zone but only fell down to 36.24 at the time of writing.
Source: TradingView
What is keeping BTC afloat?
As per the latest data from Glassnode, the number of active addresses in loss reached a two-year high of a little over $15 million as of 7 May. Subsequently, the number of active addresses in profit reached a three-month low of 26,723,028 as per additional data from Glassnode.
However, as per analyst Will Clemente, the credit for sustaining the BTC above the $30,000 mark goes to long-time HODLers that are constantly investing in the token despite the losses. Furthermore, famed crypto opponent, Peter Schiff, gave credit to the efforts made by HODLers in keeping the token price afloat.
Rise of the HODLers?
As per data from Glassnode, the number of wallets with a balance of more than 0.01 BTC, 0.1 BTC, and 1 BTC witnessed a tiny spike and currently stands at approximately 9.9 million, 3.46 million, and 836K respectively.
However, the number of addresses with more than 1K BTC showed a decline, currently standing at 2.4K addresses. However, the number of addresses with more than 10K BTC witnessed a massive surge in the last five days. As of 3 May, the number of addresses with more than 10K BTC stood at 90, which spiked up to 95 as of 6 May.
Source: Glassnode
Thus, an overall rise in the number of addresses holding on to the token can be taken as a positive sign. Furthermore, the aforementioned data depicts the efforts of HODLers to keep the token afloat and well above the $30,000 level.
Will HODLers revive the market?
As per Bitcoin analyst and crypto reporter Willy Woo, Microstrategy fell by 14% and Coinbase fell by 12% due to the BTC token functioning being 9.1% down.
However, despite the ongoing bear run, investors and HODLers maintained a bullish sentiment. Bitcoin investor, Lark Davis, tweeted about the adoption of Bitcoin despite the ongoing price trajectory of the token. Furthermore, Layah Heilpern, crypto consultant, tweeted about buying the dip instead of wasting the opportunity.
With large organizations adopting the king token, the combined efforts of the HODLers, and the bullish sentiment of the market, it can be speculated that the BTC may rise in the future. But the question here is: How long can HODLers hold on in the face of further anticipated losses?
