New Bitcoin Address Momentum Looking Bullish, What This Means For BTC Price
A shift in new Bitcoin address momentum is sending a signal that the world’s largest cryptocurrency might be in the beginnings of a new bull market, data from crypto analytics firm Glassnode reveals. According to Glassnode, the 30-Day Simple Moving Average (SMA) of New Addresses has now been above the 200-Day SMA since the start of November, despite the collapse of cryptocurrency exchange FTX early that month.
Indeed, the data may suggest that new Bitcoin investors used the drop in Bitcoin’s price as a result of FTX’s implosion as a dip-buying opportunity. Moreover, the data might reflect a post-FTX shift in Bitcoin investor preference towards self-custody as opposed to leaving crypto assets on the exchange.
Either way, the 30-Day SMA of New Addresses moving above the 200-Day SMA is a bullish sign – in the past, the 30-Day SMA has typically been above the 200-Day SMA during Bitcoin bull markets.
According to Glassnode, “early bull markets are often characterized by an uptick in daily new users, more transaction throughput, and increased demand for blockspace”. “When the faster 30-day SMA
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