The number of cryptocurrency wallet addresses holding over $1 million in Bitcoin has seen a remarkable surge this year, according to data from BitInfoCharts. This increase, while impressive, comes with nuances, as many of these wealthy wallets belong to crypto exchanges and financial institutions.
A tripled number of million-dollar Bitcoin wallets
BitInfoCharts data reveals that the count of Bitcoin addresses containing more than $1 million soared from 23,795 at the start of the year to an impressive 81,925 currently. This surge represents a substantial 237% growth over the past 11 months. It is important to note that these millionaire wallets do not directly correlate to individual users, as a significant portion of these addresses are owned by crypto exchanges and financial entities.
Comparative data from Glassnode highlights that the number of addresses with over $1 million in Bitcoin reached its zenith during the peak of the previous bull market in November 2021. On November 9, 2021, a record-breaking 112,573 such addresses were recorded, just one day before Bitcoin achieved its all-time high of $69,000 on November 10, 2021.
In contrast, the number of “wholecoiners,” which are wallets holding at least 1 BTC, has seen a more modest increase since the beginning of the year. Currently, there are 1,018,015 such addresses, reflecting a 4% growth from the 978,197 recorded on January 1st. This suggests a consistent accumulation trend among investors, despite fluctuations in Bitcoin’s price driven by various events within the crypto industry.
Bitcoin’s recent performance
At present, Bitcoin is trading at nearly $37,100, marking a 38% increase over the past month. The recent surge in Bitcoin’s price has been attributed to growing enthusiasm in response to multiple pending spot exchange-traded fund (ETF) products. Bloomberg ETF analysts have predicted a 90% likelihood of a spot Bitcoin ETF being approved by January 10th, with many anticipating a subsequent price rally.
However, not all analysts are convinced that the approval of a spot Bitcoin ETF will trigger the next bull run. CMC Markets analyst Tina Teng has expressed skepticism, pointing out that while an approval would be a positive development for the crypto industry, both Bitcoin and the broader macroeconomic landscape may lack the necessary fundamentals to justify a complete trend reversal.
