The Fall in Number of Bitcoin Millionaires
Well, Bitcoin isn’t all about roses and pink glasses it seems. A recent news has left the investors speechless. We all are well aware of the fact that Bitcoin’s value has always been volatile and a cause of concern for all. But the increase in volatility has topped the list of concerns in the recent news. Due to the subsequent decline in the value of the said cryptocurrency over a time period of the last three months, the number of Bitcoin millionaires has drastically reduced.
Feingold acquired data regarding the same on 26 January 2022, and the results have shown facts of concern. As of the day mentioned, there were 87,953 addresses that had over $1 million Bitcoin balance. Out of these many millionaires, a rough estimate of 7,008 had a balance over and about $10 million. The remaining of them had a balance of $1 million each. This came in stark contrast to the data obtained on 28 October, 2021. A total of 116,139 addresses were declared Bitcoin millionaires. Of these, 105,820 had a balance of at least $1 million, 10,319 had a balance over $10 million dollars. Comparing the two results, it was found that there has been a decline of Bitcoin millionaires by a great margin of 28,186 addresses or, to talk in percentages, a drop of 24.26%. It was also found that the number of Bitcoin addresses with more than a balance of $100,000 reduced by 30.04% between October and January, showing a decrease in number from 505,7511 to around 353,763. It seems that every investor has been hit with the decrease in Bitcoin’s value.
Despite the increase in the adoption of the currency, we have seen a drop in the number of millionaires. It is difficult to who these individuals are since Bitcoin addresses are associated with anonymity. However, it is very well possible that these Bitcoin addresses with a balance of more than $1 million belong to investors that have large capital streams, such as institutions, or these might be some of the extremely early adopters. Let’s not forget that a single Bitcoin holder can also have multiple Bitcoin addresses.
Experts have also made a list of possible reasons for this fall. This includes an amalgamation of factors which are regulatory scrutiny, geopolitical unrest, turbulent markets, and the reason of frustration for all- covid that combined had an effect on the asset’s performance this averse. Additionally, the value of had also decreased substantially from October 28, when it was trading around $61,000. Even though now the value has started to increase, it is still significantly lower than what it was three months ago.
Does this drastic fall cast darkness over Bittcoin’s value in the future? Experts say that this might not be the case. Despite having such a hard fall, experts tend to be optimistic about the future. Despite the volatile start to the year, a number of analysts continue to praise the asset as insurance against the rising inflation. Well, whether this changes to reality is still a question given the volatility of prices, something that we will get to know in the future.
Some concepts for a similar type of a decentralized electronic currency precede BTC, but Bitcoin holds the distinction of being the first-ever cryptocurrency to come into actual use.
The live Bitcoin price today
is $38,608.08 USD with a 24-hour trading volume of $20,113,387,505 USD. We update our BTC to USD price in real-time. Bitcoin is up 4.32% in the last 24 hours. The current CoinMarketCap ranking is #1, with a live market cap of $731,450,032,362 USD. It has a circulating supply of 18,945,518 BTC coins and a max. supply of 21,000,000 BTC coins.
