Bitcoin surges as active BTC addresses jump to 2-month high

TL;DR Breakdown:

• Daily active BTC addresses have exceeded over one million for the first time since two months ago.
• This coincides with the declining supply on exchange and the recent jump in BTC to over $50,000.

The largest cryptocurrency Bitcoin (BTC) looks set to storm the $51,000 price level. There have been bullish indicators for BTC prices over the past few days, one of which includes the declining exchanges’ balance. 

Crypto analytics platform Santiment has also confirmed a strong level of activities on the Bitcoin network. The number of daily active BTC addresses has reached a 2-month high of over one million.

Daily BTC addresses spike

Per Santiment, daily active BTC addresses crossed 1.04 million, which is the “first full day of addresses eclipsing 1M on the BTC network since July 3rd.” The increase in active BTC addresses coincides with the recent jump in the price of the cryptocurrency to over $50,000.

#Bitcoin is now on the cusp of breaking $51k for the first time since May 12th, and daily active addresses hit 1.01M as support was broken. This was the first full day of addresses eclipsing 1M on the $BTC network since July 3rd. https://t.co/rpd2Yva9Rs pic.twitter.com/hApGdpPnQK

— Santiment (@santimentfeed) September 3, 2021

On Thursday, more than $465 million worth of short positions were liquidated on the futures market following the jump in BTC to $50k. For most experts and analysts, the increase wasn’t surprising given the exchange flows were back in accumulation.

All exchange BTC balance declines

Bitcoin balance on all centralized exchanges is down to almost 2.5 million BTC, a trend that is usually characterized as an indication of accumulation. Last week alone, over $867 million worth of Bitcoin (17,104 BTC) were moved off exchanges, and over $6.3 billion (124,501 BTC) in the last month.

As of September 1, the BTC balance on Coinbase dropped to 709,695 BTC, which is the lowest amount held by the exchange since 2017. The declining BTC supply on the exchange attests to fresh demand from mostly deep-pocketed investors.

At press time, Bitcoin was up 1.68 percent (24hrs), trading at $50,829 on CoinMarketCap.