Analyst: Bitcoin resilience by HODLers

Despite recent massive deleveraging, Bitcoin continues to hold up for long-term holders of the coin. Long-term holders protect bitcoin His on-chain analyst Willie Wu recently tweeted that long-term holders are “protecting” bitcoin from further declines.

So he said “If you’re wondering why BTC has endured so much deleveraging, Rick Astleys, a long-term hodler who hasn’t given up on BTC, is absorbing the selling.The new wave of Bitcoin deleveraging is , which began in November following the beginning of the FTX debacle, many large owners and institutions began mitigating risks to protect themselves from infection. Usually, when BTC deleverages to a great extent, there is always a catastrophic price action that causes the value of the asset to drop significantly. For BTC, however, the coin has remained stable despite strong selling pressure over the past few weeks. Analysts theorized that BTC is holding because HODLers not only hold the coin, but appear to support the price by accumulating and buying from so-called “weak hands”. Bitcoin holders increase holdings The resilience of the BTC price is consistent with the surge in the number of coins held by users. At least the number of Bitcoin wallets included. 

Additionally, statistics show that about 18.85 million bitcoins (5 million over 5 years) are dormant. These developments could indicate that an investor or trader has accumulated his BTC in his wallet. The analyst's confidence also stems from the fact that more and more of his BTC holders are moving coins from centralized exchanges to his private wallets. Investor groups that have been accumulating assets continuously this year are the guardians of the BTC price. The owner's belief in continuing in a crash helps prevent the coin from crashing constantly. Bitcoin Price Trends The price of Bitcoin has been on a steady downward trend this year. Bitcoin, which opened earlier this year, fell by more than half to $15.5 thousand before returning to the spot price. There have been many triggers that have seen the coin slide. However, the FTX fiasco sent BTC down from over $21,000 to 2022 lows.