According to Coinmetrics, the total number of BTC addresses has just hit 28.39 million which is an all-time high. The last time Bitcoin had almost as many addresses active was back in 2017 when the huge bull run took place.
Alex Thorn on Twitter explains that Coinmetrics calculates active addresses as any address that has any Bitcoin balance.
3/8 On one hand, one address can hold many UTXOs, one wallet can hold many addresses, and one user can have many wallets. Indeed, the best practice is to create a new address for every transaction. (Satoshi suggested this in the white paper). pic.twitter.com/BXrSoYpxIv
— Alex Thorn (@intangiblecoins) December 6, 2019
Is This Going to Affect Bitcoin?
Clearly, it’s really hard if not impossible to determine the exact number of active individual Bitcoin users, however, statistics and data are clearly showing there is an increase in Bitcoin users recently. This is quite significant when we take in count that Bitcoin has been in a downtrend for many months and it’s not even close to the levels that we were seeing back in 2017.
The digital asset is currently trading at $7500 a level that has been quite normal for Bitcoin. The trading volume and volatility are decreasing significantly over the past 4 days as bulls are looking to break above $7750 to confirm a daily uptrend.
The daily higher low is clearly established at $7067, however a lower high compared to $7750 is certainly still possible even though the daily MACD is bullish now.
The 4-hour chart remains in favor of the bulls although a double top could be forming soon if the bulls can’t keep up. This period of low volatility and low trading volume indicates a big move is about to happen soon, we just don’t know in which direction.