Bitcoin surpassed all its previous record, raging towards $40,000 at the beginning of 2021; however, the strongest cryptocurrency saw some price correction plummeting badly in the last few days. While Bitcoin markets have been hyperactive, the cryptocurrency has created several records this week.
The number of active addresses for Bitcoin and trading volume increased to a massive high, breaking previous all-time highs.
Bitcoin records ‘all-time high’ trading volume and number of active addresses
The last bullish run of Bitcoin was recorded in 2017 when the cryptocurrency created many records after reaching an acme in price. Even though Bitcoin fell sharply since the last two days, trade analysts are optimistic that the 2021 Bullish run for Bitcoin is not over.
The trading volume of Bitcoin across the leading exchanges surpassed $11 billion, which is a new all-time high. Crypto Compare page that aggregates the bitcoin trading volumes from major exchanges showcased that the interest in Bitcoin is racing ahead and trading is on the rise. Experts believe that the trading volumes indicate that the Bitcoin industry is highly mature, and the high trading volumes make markets efficient and ensure liquidity. As the novice Bitcoin traders line up to sell off Bitcoin on Monday.
As Bitcoin plummets by the most substantial amount, nearly $140 billion was reduced in the cryptocurrency market cap. In the last two days, Bitcoin has slid for more than 21 percent, and other tokens also plummeted. However, since the new investors may be nervous by the sudden price fall, they started selling off their Bitcoin, giving a boost to trading volumes.
The number of active addresses for Bitcoin was also at its pinnacle on January 8, as reported by Glassnodes data. Around 1.3 Billion Bitcoin addresses were active on January 11, which is indicative of increased activity and adoption of Bitcoin. The market volatility and price correction are vital for even Bull markets, as per Bendik Orcein Schei of Arcane research. He also added that” It is great to see higher volumes, making the market more liquid and efficient.”
The recent fall in Bitcoin for over 21 percent may be begging of its bearish run after an extremely bullish run since last few weeks.
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