Bitcoin (BTC) crashed to $ 52,000 with a sudden drop on April 18. Later, with rumors that US President Joe Biden would offer an increase in capital gains tax, the drop deepened further and BTC fell to $ 47,000.
Bitcoin started this week with a gradual rise and mostly hovered around $ 55,000. While the on-chain indicators offer a healthy outlook, they reveal that the coin may go higher in the near future.
On-chain analysis source Glassnode, In a Twitter post on April 29 shared the graph of the miners’ BTC sales. According to the chart, the average seven-day BTC sold by miners started to decline after reaching up to 250 BTC in January.
The average number of BTCs sold by Bitcoin miners for seven days. Source: Glassnode/Twitter
Miners’ average seven-day sales dropped to 49.8, the lowest in four months. The decrease in the number of BTC miners sell is perceived as a positive sign as it indicates that they expect an increase in price and therefore prefer to save.
On the other hand, again according to Glassnode’s data A decrease was also observed in the number of BTC transferred to stock exchanges. The amount of BTC invested in exchanges is important as large investors often store their savings in cold storage and deposit BTC for sale on exchanges.
According to the data, the seven-day average number of Bitcoins transferred to exchanges fell to 2,688, the lowest number in the last three months.
Seven-day average number of BTC deposited on exchanges. Source: Glassnode/Twitter
Bitcoin is trading at $ 54,400 as of the time of the news release.