The number of Bitcoin addresses with non-0 BTC addresses climbed to a record high of forty million in February. It indicates a bullish sentiment for BTC while also pointing towards a strong adoption of the cryptocurrency.
Wallets with affirmative BTC balance are holding onto their currencies in greater numbers. Statistics show that the number of Bitcoins circulating supply moved last around 3 to 5, finally reaching a high in 4-year of over 2.8M coins.
Between 2019 and 2020, the BTC addresses with non-zero balance expanded rapidly till mid-2021. It then appears to have flattened out at a little over 35M addresses.
Reason For Increase In Zero-Balance BTC Addresses
The rise in this statistic has accelerated starting 2022. This resulted in the highest ever of 40,276,163. The sudden rise in the supply of BTC, last active around 3 to 5 years back, corresponds to the end of the past extended bull run starting 2018. It appears that 817,445 of the BTC addresses with non-zero balances hold one BTC at least.
There are some interesting revelations of the dynamics of Bitcoin on the supply side. Around three-quarters of the circulating supply of BTC was illiquid as it was not traded for long.
This is defined as a ‘power keg’ position that will blow up once even a moderate number of BTC are lifted from the market. There was more proof in February that Bitcoin can remain immune to censorship despite political turmoil as seen in Ukraine and Canada. Canadians have taken to BTC to stop their funds from being frozen by the government to stop them from protesting. Ukraine’s government is also accepting BTC even as tensions intensify in their country. Both Russians and Ukrainians have turned to BTC and altcoins as the war escalates.
BTC is at present at a rate of $37,827. It has slid down almost 45%from the November peak of $69,000.