Analysis: Crypto Investors Have Been Buying The Bitcoin (BTC) Dip
Although many have claimed that cryptocurrencies, namely Bitcoin (BTC), have finally bitten the dust in 2018’s market downturn, data indicates that many investors still see copious amounts of value in blockchain-based assets. Per a report from Bloomberg News’ Olga Kharif, which directly cited data from blockchain analytics unit Chainalysis, BTC has continued to flow into the addresses of “personal wallets,” not just exchanges. The research group divulged that the 30-day moving average of Bitcoin flow into investors’ wallets has been on the rise, eclipsing the $400 million milestone as of November 1st. Although $400 million out of Bitcoin’s current $65 billion market capitalization isn’t especially notable, considering that in June, this same figure was $300 million (with the price of BTC at ~$6,000 instead of $3,750 (at the time of writing), November’s inflows should could be seen as a bullish indicator.In an interview, Kim Grauer, an economist at the blockchain data firm, explained that this data suggests that investors have sought to accumulate BTC at lower prices — which lines up with community sentiment at large. Peter Brandt, for instance, explained that he has started to allocate more capital towards Bitcoin, due to his long-term belief in the asset’s underlying value.
