Bitcoin’s price increase plays an important part in the HODLing behavior, in elevated on-chain activity, and increased network utilization, according to Glassnode.
During the previous week, the price of Bitcoin oscillated between $53,657 and $56,250.
According to the report:
“Active Entities, the count of individual participants on-chain each day, has grown 19% to this week, reaching around 291k active entities per day. This value is on par with counts from late 2020 at the beginning of the last bull run.”
Since a month ago, in mid-September, the median transaction size has grown to more than 1,3 BTC.
“An increased typical transaction size is not synonymous with price appreciation, but indicative of larger and even institutional sized capital flows present on-chain,” mentions the report.
Furthermore, the dollar value of volume moving on-chain has also been on the rise during this previous week.
The report further adds:
“Since July, LTH accumulation/HODLing has been quite consistent between 13,6 and 15,0x issuance indicating the number of coins taken out of circulation are significantly more than are being newly minted.”
“Futures open interest has risen by $5.6 billion (+45%) since the lows in September. This magnitude of open interest is similar to that in early September, and in mid-May, both of which preceded significant long squeezes.”
“Perpetual swap markets are also growing increasingly bullish over the last week, with funding rates trading between +0,01% and +0,02% across all exchanges.”