Big bitcoin investors, notably those with between 100 and 1,000 coins in a single wallet, have begun to re-invest in large amounts. Simultaneously, so-called accumulation wallets, those that have been active recently but have not spent any BTC, hit a record high.
In today’s financial environment, it’s reasonable to say that there’s a lot of uncertainty. On one side we have mankind preparing to shift its focus from combating the COVID-19 epidemic as a health threat to combating rising prices. And then on the other hand we have Russia’s leader deciding to begin a special military campaign against Ukraine.
Europe’s first war since WWII, as feared, produced significant price disruptions in the crypto markets. Bitcoin first fell heavily before rebounding and even charting fresh gains, rising towards $45,000.
The current rise in the price came after the West slapped harsh sanctions on Russia as a result of its aggressiveness. The majority of those sanctions are tied to its economy, forcing the ruble to weaken.
Statistics from Glassnode revealed that the number of BTC addresses containing over 100 and over 1,000 coins increased dramatically in a short period.
The Russia-Ukraine conflict pushed up the price of BTC
Many hypothesized that some of the rises in huge bitcoin wallets may originate from the world’s largest country by landmass. They can also be tied to the events. Those events include the financial sanctions against Russia and the refusal of crypto exchanges to block accounts of Russian-based clients.
The US and its allies imposed further sanctions on Russia’s central bank, some state-owned firms, and privileged families. There has been some discussion over whether Moscow would be able to seek some relief through cryptocurrency.
Gavin Wood, the co-founder of the Polkadot ecosystem, has contributed $5.8 million, or 298,367 DOT, to the Ukraine crypto wallets. The crypto community has been asking for donations as a result of the continuing Russian-Ukraine conflict.
The total crypto donations for Ukrainian charity, the military, and the government have now surpassed $37 million, thanks to Gavin Wood’s contributions. Wood’s gift is one of the largest crypto donations ever made by a single person.
Other donors include FTX, Sam Bankman-exchange Fried’s platform, which gave $25 to each Ukrainian on his site. Second, Chain.com’s CEO, Deepak Thapliyal, gave 100 Ether (ETH), or more than $280,000.
Bitcoin reached overbought region
As the market surged to a high of $44,952, BTC’s price returned above the $38,000 support. At the recent high, the upward movement is encountering opposition. The world’s most valuable cryptocurrency will be forced to drop to historical support levels over $41,000.
Alternatively, the bulls will attempt to breach the $45,000 overhead barrier following a slight pullback. Bitcoin will soar to $51,000 if buyers succeed in breaking over the $45,000 high. The bulls failed to breach above the barrier on February 15.
As a result, Bitcoin has dropped below the $36,000 support level. Meanwhile, the price of BTC is at Relative Strength Index period 14 level 60. It suggests that the market is in an uptrend and capable of continuing higher.
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