Over the last few days, Bitcoin (BTC) has rallied and breached the $10,000 point. But the issue of most interest, especially to anyone holding BTC, is that the on-chain data shows traders are not feeling pressured to sell, meaning the price could surge even higher.
Cointelegraph says, “Bitcoin may have only held $10,000 for a matter of hours, but according to Glassnode, an on-chain monitoring resource, this moon is not like others in 2020.”
On 26th July, Glassnode uploaded its surprising data about BTC reaching $10,000 again, but suggested that in this year, Bitcoin’s journey above this price point will be considerably different than in previous years.
“Bitcoin has passed $10,000 several times in 2020, but Glassnode’s analysis suggests that this time differs from the rest because of the Bitcoin days destroyed indicator,” Cointelegraph reports.
What are Bitcoin days?
It is a measure the value of each BTC transaction, taking into account how long it has been since the coins involved last moved. In the past, when BTC has risen above $10,000, there has been an increase in the Bitcoin days destroyed metric, “suggesting that long-term holders were using the opportunity to trade or sell.” So, far this has not been repeated in July. “In contrast to the last two times $BTC hit $10,000 USD, we haven’t seen an increase in #Bitcoin Days Destroyed today,” Glassnode said.
PayPal contributes to crypto gains
Rumours circulating in June that PayPal was going to accept crypto prompted the idea that BTC would not only reach $10,000, it might lead to it reaching $12,000 in the short term.
The altcoin sector has also received a boost with Ethereum breaking firm resistance at $280 in a move which surprised everyone even more than the Bitcoin gains, and at the time of writing on 27th July, it stood at $326.