Bitcoin is holding steady above $110,000, as everyone waits to see what the US Federal Reserve does next with interest rates. The next Fed meeting is a big deal, with lots of guessing about whether they’ll cut rates. This could change how people feel about risky investments worldwide. For now, Bitcoin’s price is pretty stable, showing the market’s cautious approach before the Fed’s decision.
Long-Term Holders are Buying Big
But there’s good news for Bitcoin’s long-term future. New data shows a huge increase in buying by “accumulator addresses.” These are wallets that steadily buy Bitcoin without ever selling. This shows strong belief in Bitcoin from long-term investors. By early September, these addresses had bought a record amount of Bitcoin – a quiet accumulation happening under the surface of the short-term price fluctuations. This shows a difference between the short-term worries about the economy and the strong, underlying demand for Bitcoin. While short-term traders react to price swings, long-term investors are quietly increasing their holdings. If this continues, Bitcoin could hold its current price and even go higher once the Fed’s plans are clear.
Record Bitcoin Accumulation: Over 266,000 BTC
As of September 5th, over 266,000 Bitcoin had been accumulated by these special addresses – a new record! These addresses are defined as having made at least two large Bitcoin deposits without ever making a withdrawal. Once Bitcoin goes into these wallets, it stays there. This is classic long-term holding behavior. Unlike short-term traders, these investors are consistently buying and holding, ignoring short-term price volatility. This is especially important given the current uncertainty in the global markets and Bitcoin’s own price consolidation.
This isn’t just about individual investors; it reflects the growing acceptance of Bitcoin as a valuable asset by companies and institutions. The surge in accumulation shows strong belief in Bitcoin that goes beyond daily price changes. These long-term holders are building the foundation for Bitcoin’s next growth phase, showing that the market’s strength comes from those focused on the long game, not quick profits.
Bitcoin Price: Resistance and Support Levels
Bitcoin is trying to climb back towards $113,000 after a recent dip. It’s approaching the 100-day moving average (around $114,000), which is acting as resistance. Breaking through this could lead to a retest of $117,000-$118,000 (where the 200-day moving average is). On the downside, $111,000 is acting as short-term support, with $110,000 being the key level to watch. Falling below $110,000 could cause more selling, potentially pushing Bitcoin down to $107,000. However, buyers are stepping in at lower prices, keeping the market relatively stable. Overall, the signs are cautiously optimistic. Breaking above $114,000 would likely push Bitcoin towards $120,000, while failing to do so could keep it stuck in its current range.