Despite the massive sell-off on March 12, Bitcoin (BTC) continues to record an increase in the number of addresses holding small quantities of BTC, according to crypto data provider CoinMetrics.
In its “State of the Network Report,” on April 7, CoinMetrics noted that bitcoin addresses holdings from one billionth (1/1B) to one hundred millionths (1/100M) of the total supply of BTC increased by six percent in the last 90 days.
Also, the number of addresses holding from one hundred millionths (1/100M) to one ten-millionth (1/10M) of Bitcoin total supply rose by about 4%. Per the report, most of the increase came on March 12, which was the same time the cryptocurrency went into free fall, losing a significant amount of its value.
What this means for Bitcoin
The development signals growth for Bitcoin, considering the fact that it could attract more users despite its crash last month. New users acquiring small amounts of BTC spells out more trust in Bitcoin.
At the date, as mentioned earlier, the coin lost at least $3,000 in about 16 hours and traded as low as $3800 for the first time in 12 months. Many people have considered the move to be one of the most severe crashes Bitcoin has ever seen.
Exchanges Hold More Ether (ETH) than Bitcoin
Meanwhile, CoinMetrics further disclosed in its report that crypto exchanges currently hold more Ether (ETH) than Bitcoin. The number of ETH held by exchanges grew by five percent in the last 30 days, while BTC decreased by three percent.
According to the report, the decrease in the amount of BTC came as a result of the drop in supply held by BitMEX. However, ETH increased more on Bitfinex exchange.
Over the last 30 days, Bitfinex saw an increase of about 17 percent of ETH while other exchanges garnered small supplies of ETH, which was no more than 10 percent.