Bitcoins recent drop sparked heavy trading activity, with nearly 600,000 BTC changing hands in the $60,000-$70,000 range, according to blockchain data tracked by Glassnode.
In other words, traders went bargain hunting and got almost 600,000 BTC ($42.48 billion) in this price band during the correction. Of these, more than 200,000 BTC were accumulated in the last two weeks alone.
Note that at the beginning of the year, about 997,000 BTC last moved within the $60,000-$70,000 range. Since bitcoin’s recent drop below $70,000, that number has risen to 1.558 million BTC.
Combined, this means that nearly 8% of the circulating supply is owned by people who bought their bitcoin in this interval, creating a tight cluster of ownership. As such, the $60,000-$70,000 range could act as an important support level going forward.
At press time, bitcoin was changing hands above $70,000 and trading at levels that have previously seen thin trading activity. CoinDesk Research previously highlighted the “air gap” between $70,000 and $80,000, a range where relatively little supply changed hands.
Still, the market is at a point where things can pick up because analysis by Checkonchain shows that around 40% of bitcoin holders have paid more than $70,000 for their coins.
