Data shows that the number of addresses with less than $10 in Bitcoin wallets has soared by 75%! The number of wallets with median holdings is decreasing rapidly.
In the past year, the number of wallet addresses of Bitcoin giants holding 1,000 or more coins has only increased by 3.5%, but the number of small and micro wallet addresses holding as little as 0.0001 BTC has skyrocketed by 75%! This shows that new users are pouring into the Bitcoin market, and those existing "whale" users are accumulating more and more Bitcoin.
However, a closer look shows that the number of median coins (that is, wallet addresses holding 1-10 Bitcoins) is decreasing rapidly. This makes investors wonder whether the cryptocurrency market is healthy or not? Can it continue to develop?
From October 1, 2023 to September 23, 2024, due to various negative factors, the wallet addresses with median holdings began to sell a large number of Bitcoins. This is the main reason for their decrease in number.
Although the number of Bitcoin whales and small and micro wallets is increasing, it seems that investors are very enthusiastic about investing in Bitcoin, but the decline in the number of median wallets holding coins reveals a problem: the development of the Bitcoin market is a bit unbalanced. This may mean that the entry threshold of the Bitcoin market is increasing, or that Bitcoin assets are slowly concentrating in the hands of a few big guys. In this way, the investment risk in the Bitcoin market is even greater.
The only thing that has not changed is the addresses of super big guys holding 10,000 BTC or more.
A Bitcoin wallet address does not necessarily represent a person, and many wallets may belong to the same organization or individual. Some small and micro wallets may be abandoned because of too few assets. The decline in the number of median wallets holding coins is likely the result of everyone selling Bitcoin due to environmental turmoil.