- The number of Bitcoin hodlers with 0.01+ BTC has hit a new all-time high of 9.512 million
- The new milestone comes as Bitcoin hits a local low of $34,322
- The pullback by Bitcoin is a result of Russia attacking Ukraine
- $32k to $30k is Bitcoin’s last zone of defense, a loss of which could open the doors to more losses
- A reversal by Bitcoin might be possible in the short-term as the crypto markets are correlated to the Nasdaq
The number of Bitcoin hodlers owning 0.01 BTC or more has hit a new all-time high of 9.512 million. This milestone was identified and highlighted by the team at Glassnode through the following Tweet.
View metric: pic.twitter.com/e1wBtbZ6Zt
— glassnode alerts (@glassnodealerts) February 24, 2022
Bitcoin Suffers a Pullback as a Result of Russia Attacking Ukraine
This new milestone of hodlers with 0.01 BTC or more hitting a new all-time high, comes amidst a pullback by Bitcoin as a result of Russia invading Ukraine. At the time of writing, Bitcoin is trading at $35,300 after a local low of $34,322 earlier today.
A brief glance at the daily BTC/USDT chart below reveals that Bitcoin is trading below the 50-day moving average (white), the 100-day moving average (yellow), and the crucial 200-day moving average (green). This is a major bearish sign for Bitcoin as the world speculates on what will happen next between Russia and Ukraine.
A Reversal By Bitcoin is Possible
Also from the chart, it can be observed that the $32k to $30k support area is the last area of defense before Bitcoin drops to the $28,800 support last witnessed in July of last year. However, the daily MFI (green) and RSI (red) are clearly in overbought territory thus signaling the possibility of a reversal.
The potential for a reversal by Bitcoin was also explored by veteran BTC analyst @MagicPoopCannon who shared his insights via the following tweet.
Crypto is mixed, but here is the determining factor: The #Nasdaq has a bullish divergence on the daily! So, if the NQ can reverse to the upside off of this divergence, it will undoubtedly cause a reversal rally in all of crypto. Keep an eye on the #NQ! pic.twitter.com/ATznUPfT4J
— MAGIC (@MagicPoopCannon) February 24, 2022
According to Magic, the crypto markets are highly correlated to the Nasdaq which has a bullish divergence on the daily. If the Nasdaq can reverse to the upside, Bitcoin and the crypto markets could experience a reversal rally.
A Time for Caution When Trading Bitcoin and Cryptocurrencies
Due to the volatility in the traditional and crypto markets brought about by the Russia/Ukraine situation, traders are reminded to proceed with caution when trading on the various futures markets. The use of low leverage and stop losses is highly encouraged.