Bitcoin (BTC) wallets holding 100 to 1,000 BTC have added 113,950 BTC since July 15, Santiment data shows.
The purchases lifted the group’s combined balance by 2.22% to roughly 5.24 million BTC. Santiment shared the figures as the price slipped below $84,000 on Wednesday.
A 5-Year Track Record Behind the Bitcoin Smart Money Signal
But why does this accumulation matter? Santiment counts this cohort among the “most useful smart money groups to watch.” Its five-year study found that the wallets closely tracked the crypto market’s direction.
Historically, this cohort has tended to build positions ahead of, or during, Bitcoin’s stronger price stretches.
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The current run fits that record. The cohort kept adding coins as Bitcoin climbed from mid-August. According to Santiment, this suggests the rally drew support from well-capitalized holders as well as retail traders.
“Sustained buying from the 100-1,000 BTC group has historically been valuable alpha, especially when paired with retail fear, sentiment, and exchange-flow data,”
Treasury Yields Drag Bitcoin Under a Key Level
The accumulation arrives during a volatile week for Bitcoin, which has swung between sharp gains and losses since Monday. On September 21, Bitcoin crossed $84,000 for the first time since January 31.
That breakout liquidated $262.30 million in short positions within an hour, according to CoinGlass. The move also came after Bitcoin’s first weekly close above its 50-week moving average in 45 weeks.
However, macro conditions turned against the rally on Wednesday. A hot US PMI report pushed the 10-year Treasury yield above 5%, reviving fears of another Federal Reserve hike.
Bitcoin fell below $84,000. The same area also shows up in Glassnode’s on-chain data.
Glassnode Draws the Line at $84,000
Glassnode places the largest cluster of long-term holder supply between $84,000 and $85,000. Bitcoin briefly dipped to about $83,500 on Wednesday but closed the day near $84,400 on Binance.
On Thursday, the price slipped to roughly $83,800, just under the lower edge of that band. The daily session remains open, so the level has yet to produce a confirmed break.
Glassnode sees $95,000 to $97,000 as the next major test for Bitcoin. The mean Market Value-to-Realized Value (MVRV) price is $96,700, within that range.
“The next test is $95K-$97K, where options positioning and the mean MVRV price meet,” the firm said.
The firm added that holding above $84,000 keeps that path open. However, a drop below it would bring the $77,000 True Market Mean back into view.
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Source: BeInCrypto
