Bitcoin is making a strong move on the last day of February as it reaches intraday highs of $41,284. Bitcoin is recording its largest green candle since Feb.4 when it rose to highs of $41,760.
The month of February has been mixed in terms of Price action for the lead crypto asset, having dropped to lows of $34,424 on Feb.24.At press time, Bitcoin was changing hands near $41,009, representing a near 9% gain on the day. Earlier, prices dropped to lows of $37,468 before the ascending climb. Despite the mixed price action in February, Bitcoin is up 7.08% for the month. A piece of positive news comes in for Bitcoin as Major e-commerce marketplace eBay could integrate crypto payments soon, said CEO Jamie Iannone in a recent interview.
Altcoins also rebounded alongside BTC with the majority posting gains between 2% and 10%. Terra (LUNA, +10%), Safemoon (SAFEMOON, +15%), Nucypher (NU, +15.51%) are significantly up in the last 24 hours according to Coinmarketcap.
Cryptoanalyst, Michael van de Poppe believes further upside might be likely for Bitcoin price, saying, ”A strong move of Bitcoin here. Looks like upside is the way for the coming week”. Two other factors might boost Bitcoin price in the near to mid-term.
Bitcoin as a hedge against inflation
Increased inflation expectations have been often been linked to cryptocurrency price appreciation. Charlie Bilello, founder, and CEO of Compound Capital Advisors tweeted that the Fed’s balance sheet has hit another record high at $8.93 trillion, more than doubling over the past two years as the Fed continues bonds buying. U.S. inflation also hit a 40-year high in the present month.
Retail holders accumulate
On-chain analytics firm Glassnode reports most Bitcoin wallet cohorts are now in net accumulation, with smaller holders being the most aggressive. Shortly after whales’ actions, retail investors seem to be scooping up Bitcoin tokens at a discount amid the present market volatility concerning short-term price action for cryptocurrencies.
On-chain analytics, firm Santiment earlier reported massive Bitcoin accumulation for whales when Bitcoin marked lows at $34,322, noting the largest amount of transactions involving greater than $100,000 and $1 million since Jan. 24.
IntotheBlock analytics reports that Bitcoin ”hodlers” that have been holding for more than a year are also accumulating.”BTC ”hodlers” continue to accumulate.The balance held by hodlers – addresses holding more than 1 year, increased by 4.13% over the past 30 days.11.78m BTC belongs to these addresses”
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