Source: Cointelegraph.com NewsKey points:<\/p>\n
Bitcoin\u2019s most recently-moved supply segment is increasing as higher prices see an influx of \u201cspeculative capital.\u201d
\n\u201cHot supply\u201d has doubled in just five weeks versus local lows in March.
\nActive address numbers have yet to mimic a classic bull market comeback.<\/p>\n
Bitcoin (BTC) short-term holders (STHs) are back in the game as a \u201cspeculative capital\u201d enters the market.
\nIn an X thread on April 29, onchain analytics firm Glassnode reported a surge in Bitcoin\u2019s so-called \u201chot capital.\u201d
\nBitcoin sees \u201csurge in capital turnover\u201d
\nNew investors are entering the market as BTC price action circles its highest levels in several months.
\nGlassnode reveals that the sum of coins which last moved up to a week ago has reached its largest figure since early February.
\n\u201cThis metric captures short-term holder activity and is a proxy for speculative capital entering the market,\u201d it explains.
\nIn the past week alone, hot capital has shot up by over 90% to near $40 billion. Since local lows in late March, hot capital has increased by $21.5 billion, a \u201csurge in capital turnover\u201d which underscores a sea change in market sentiment.
\n\u201cBTC hot capital bottomed at $17.5B on 23 Mar – its lowest level since Dec,\u201d Glassnode summarizes.\u00a0
\n\u201cIn just 5 weeks, it has added over $21.5B, suggesting a rapid shift from dormancy to speculation among newer market entrants.\u201d
\nBitcoin \u201chot supply\u201d data. Source: Glassnode\/XBTC bull market comeback in progress
\nAs Cointelegraph continues to report, STH investors have recently returned to aggregate profit as price hovers near $95,000.
\nRelated: Bitcoin in ‘critical zone’ as triple breakout meets $93.5K support battle
\nAnalyzing overall network participation, however, Glassnode suggested that a full bull market comeback has not yet taken place.
\n\u201cSigns of early FOMO are emerging, with the Hot Capital Share ticking higher and profitability metrics like Percent Supply in Profit (86%) and NUPL (0.53) expanding notably,\u201d it wrote in an introduction to its latest \u201cMarket Pulse\u201d analysis piece released on April 28.
\n\u201cHowever, while on-chain activity such as transfer volume and fees are recovering, daily active addresses remain suppressed, suggesting that full organic network engagement is still rebuilding.\u201d
\nBitcoin active addresses (7-day simple moving average). Source: GlassnodeEarlier this week, other sources reported on the potential dangers of \u201cFOMO\u201d when it comes to an enduring BTC price recovery.
\nThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.<\/p>\n