Bitcoin Slightly Drops to 73 Million Won Range... Cryptocurrency Market Calms Down

Long-term investors still holding Bitcoin

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Gong Byung-sun] The leading cryptocurrency Bitcoin has slightly dropped to the 73 million KRW range. The digital asset sentiment index is also moving toward neutral, indicating that the cryptocurrency market has relatively calmed down.

According to the domestic cryptocurrency exchange Upbit, as of 12:12 PM on the 21st, Bitcoin recorded 73.25 million KRW, down 0.57% from the previous day. It rebounded to 74.09 million KRW the day before but has since stalled.

Recently, Bitcoin has not shown an upward trend. On the 9th, it reached an all-time high of 82.7 million KRW, raising expectations for further increases, but it has since quieted down. On the 19th, it even dropped to 69.15 million KRW. The last time Bitcoin’s price was in the 60 million KRW range was about a month ago, on the 15th of last month.

As Bitcoin’s volatility decreases, the cryptocurrency market is also calming down. According to Dunamu, the operator of Upbit, the fear and greed index, a digital asset sentiment index, recorded 53.13 on this day. This is a neutral level, indicating neither strong greed for buying nor fear-driven selling.

Trading volume on cryptocurrency exchanges has also decreased. According to cryptocurrency data provider CoinGecko, Upbit’s 24-hour trading volume was about 14.4 billion USD (approximately 17.136 trillion KRW) on the 19th. However, it dropped to about 7.6 billion USD on this day. Similarly, the domestic cryptocurrency exchange Bithumb saw its trading volume decrease from about 2.6 billion USD on the 19th to 1.5 billion USD on this day.

However, long-term investors are still estimated to be holding Bitcoin. According to cryptocurrency data provider Glassnode on the 19th, long-term investors sold only 0.7% of their total holdings over the past month. This corresponds to Bitcoin worth about 100,000 USD. Glassnode explained, “78.7% of the Bitcoin held by long-term investors is currently in a profit realization zone.”