- A single Bitcoin wallet address may not necessarily correspond to a single user.
- An enormous 190,000 addresses were added starting in early February 2022.
Over one million unique Bitcoin wallet addresses now contain one Bitcoin or more. According to information gathered by Glassnode, the millionth was attained on May 13.
1 Million Wholecoiner Addresses#Bitcoin pic.twitter.com/4ywupjEfOu
— Rafael Schultze-Kraft (@n3ocortex) May 12, 2023
There was a significant increase in the number of wallet addresses holding one Bitcoin or more as the price of Bitcoin dropped by over 65% over the course of last year, with the largest increases occurring during a severe market crash in June and from November 11, the period that FTX went down and subsequently filed for bankruptcy.
Buying the Dip
As the price of Bitcoin declined from its November 2021 highs, an enormous 190,000 or so “wholecoiners” were added starting in early February 2022. The co-founder of Glassnode, recently advised his 54,000 Twitter followers to purchase Bitcoin only when there is “blood in the streets.”
His remarks follow a string of failed U.S. banks and rumors that the Federal Reserve may suspend its interest rate increases in the near future. Glassnode “remains confident” that Bitcoin will hit $35,000 in the mid-term for a variety of reasons, including those listed above.
While “one million” certainly sets a new benchmark, it’s important to remember that a single Bitcoin wallet address may not necessarily correspond to a single user.
Multiple Bitcoin addresses are used by many cryptocurrency investors, while other addresses belong to huge entities like cryptocurrency exchanges and investment businesses. Out of the approximately 19 million Bitcoin in circulation today, CoinGlass reports that 1.89 million BTC (valued at $50.7 billion) are stored on big centralized exchanges like Binance and Coinbase.
