Bitcoin has outperformed the $7,500 mental level as on-chain investigation shows that retail bitcoin financial specialists are purchasing gigantic aggregates of bitcoin day by day.

The celebrated “Dark Thursday” occasion that occurred on March 12, 2020, saw bitcoin lose such a great amount of significant worth in the space of hours. Bitcoin dropped from somewhat over $8,000 to $3,800 on Black Thursday.

From that point forward, bitcoin has scarcely come back to comparable degrees of significant worth and has battled to locate a steady value go during the progressing worldwide pandemic.

Be that as it may, this week bitcoin considered a to be of expectation as the top digital money recorded a 7 percent expansion, outperforming the $7,500 mental level.

Information from examiner may give more expectation as more retail financial specialists stack bitcoin in front of the splitting.

Long Term Investors Are Adding $500M Worth of Bitcoin Daily

According to data from on-chain market analysis hub, Glassnode, long-term investors are adding up on their Bitcoin stock.

In a tweet, Glassnode indicated that the net position change of HODLers is reaching yearly highs.

 “Long term investors are increasing their positions – and they’re accumulating more $BTC each day,” Glassnode tweets.

The same research also shows that long term bitcoin investors are adding at least 75,000 bitcoin to their positions every day.

At the current price of $7,500 per bitcoin, 75,000 bitcoin is worth $562.5 million. Although no particular reason may be attached to this strategy by investors, it seems FOMO is kicking in the right before the halving.

Fear of missing out (FOMO) is is a psychological mechanism that causes traders to buy large sums of an asset due to concern that they may miss out on upcoming profits.

It usually leads to an increase in the assets price as several traders troop to exchanges to make a purchase before a major event. In the case of bitcoin, this event is the bitcoin halving scheduled to take place in less than 20 days (at the time of writing this piece).

Hobby investors and amateur traders are also adding to more bitcoin to their portfolio. For instance, on the African continent, data from UsefulTullips shows an increase in trading volume on P2P platforms in the last seven days.

On Paxful, Nigeria has seen an increase in trading volume to $3.9 million compared to 3.2 million last week. Kenya and Ghana have also recorded significant jumps this week.

If this trend continues, it may have a positive impact on the bitcoin price after the halving as the supply of bitcoin drops and demand increases.

Speculation on the possible price movements after the halving continues to pour in; it will be interesting to see what the market looks like in the coming weeks.What are your thoughts on the effects of the halving on the bitcoin price? Let us know what you think in the comments section below.

source:
https://blocknewsafrica.com/bitcoin-surpasses-7k/

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