bitcoin (BTC) accumulation approaches a new milestone this Christmas as the redistribution of the BTC supply continues.
On-chain analytics company data glass node shows that the total BTC balance of the so-called "accumulation addresses" is nearing all-time highs.
โHODL-onlyโ BTC addresses approaching the 1 million mark
Behind the scenes in the 2022 Bitcoin bear market, certain entities are in no doubt about their BTC investment strategy.
According to Glassnode, Bitcoin accumulation addresses are more numerous than ever, while the balance of BTC they contain is almost at a record high.
โAccumulation addresses are defined as addresses that have at least 2 non-powder incoming transfers and have never spent funds,โ the company description explains.
Glassnode adds that exchange wallets and those owned by miners are excluded from the count, as are addresses last active more than seven years ago, as the funds they contain could be lost and permanently cut off from circulation.
Despite this, the accumulation addresses contained a total of 3,099,828 BTC as of December 25.
That number is getting closer and closer to the all-time high of 3,403,280 BTC seen in August 2015. Since Christmas 2021, the cumulative address balance has risen by around 18%.
As of December 25, 2022, there were a total of 793,591 qualified accumulation addresses.
Selling "bullish" whales?
Meanwhile, a separate analysis by on-chain analytics platform CryptoQuant argued that despite the largest hodlers reducing their exposure to BTC, the overall long-term trend remained bullish.
Related: Bitcoin Exchange Withdrawals Plunge To 7-Month Low As Users Forget FTX
โLarger holders (whales) selling to smaller holders (retailers) really want YOU to want to see if you believe in a long-term Bitcoin thesis. Bitcoin becomes more distributed on the network. It is in the hands of more investors than in the hands of a few whales. And that's just a good thing," contributor Maartunn wrote in part of a blog post on December 21.
โOn the lower time frame, this is still an ongoing risk. But in a broader perspective, I'm pretty sure this is healthy for the bitcoin network as a whole."
The accompanying charts showed changes in the Unspent Transaction Outflow (UTXO) value, with transactions worth between 0.1 and 1 BTC rising markedly in Q4.
Like Cointelegraph reportedan increase in smaller BTC wallet numbers came as a result of the FTX implosion with users rushing to withdraw coins from custodial exchanges.
The views, thoughts, and opinions expressed herein are those of the authors alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
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