BTC balance of small savers reaches all-time high after FTX plunge

Despite the downward pressure on the bitcoin price that has led it to a 2.2% pullback in the last 24 hours, small bitcoin savers have been buying aggressively during this correction.

A report from Glassnode notes that the bitcoin shrimp segment, those with less than 1 BTC, have added 96,200 BTC to their balance sheet following the FTX collapse. This cohort now accumulates 1.21 million BTC, which represents 6.3% of the bitcoin circulate.

The graph visualizes the bitcoin price (black) in contrast to the shrimp-controlled supply. The shaded area points to the added BTCs, as well as showing the recent peak of. 90,000+ BTC added to the shrimp supply..

BTC balance of small savers reaches all time high after FTX
Shrimp supply grew to 1.21 million BTC. Source: Glassnode.

BTC crabs are also moving forward

Glassnode also reported a record increase in savers holding between 0.1 BTC and 10 BTC, the so-called crabs. These added to its balance sheet 191,600 BTC in the last 30 days to surpass 2.4 million BTC, or 12.6% of bitcoin circulating. This cohort also records an all-time high in accumulated BTC..

1669729204 38 BTC balance of small savers reaches all time high after FTX
Crabs control 12.6% of bitcoin supply .

In contrast, whales, those savers with more than 1,000 BTC, have recorded sales in the last 30 days. However, the 6,500 BTC that these savers have sold in November is very insignificant (2.3%) compared to the more than 280,000 BTC purchased by shrimps and crabs. Likewise, these sales by whales are insignificant when compared to the total BTC they accumulate, some 6.3 million BTC, which is equivalent to 33% of the bitcoin circulating.

Analysts predict bitcoin price bottom.

Intensified selling by small savers could be associated with a possible formation of the price bottomwhen the available sellers start to decrease.

The analyst Willy Woo posted on Twitter several reasons why he believes a bottom in price is imminent. One of them the case of the lows of the MVRV indicator, which was already highlighted by CryptoNews. The MVRV are obtained from the ratio of bitcoin’s market value to its realized value, which has been used for the determination of price peaks and troughs.

Woo highlights the use of the “age” and value of BTC that are moved to new investors for the formation of a fund, through the CVDD indicator.

When a HODLer sells to another HODLer, the transaction contains both the value (USD) and the duration of the previous HODL time. CVDD is the cumulative sum of this value and destruction time for each chain transaction.

Willy Woo, @woonomic on Twitter.

HODLer is a term applied to a bitcoin saver with little willingness to sell.

1669729204 952 BTC balance of small savers reaches all time high after FTX
The CVDD metric would be predicting a bottom for the price of BTC. Source: @woonomic on Twitter.

Woo created the CVDD metric in 2019, which happened to be a floor for the price and effectively functioned as a price support. However, this bearish phase is the first that will serve as a test of the hypothesis, Woo notes.. So far, the price curve has touched the CVDD curve twice in recent days.

An analysis by CryptoNews, published last November 24, presents the opinion of several traders and analysts on the creation of a price fund. There they highlight that the percentage of bitcoin savers at a loss is close to 50%, a point that has also been associated with the formation of a floor of the price.