- Retail investors holding less than $10,000 in Bitcoin have increased by 3.4% since April 28.
- CryptoQuant’s Carmelo Aleman links rising small investor activity to broader market sentiment shifts.
- Binary CDD at 0.6 suggests older holders may soon adjust or sell Bitcoin positions.
Bitcoin is seeing a renewed wave of interest from retail investors, who are making their way back into the market. This return is being tracked through on-chain data, which shows a steady increase in wallet activity from users holding under $10,000 worth of Bitcoin. Such a pattern often reflects rising confidence and can push the price higher if the momentum holds.
A post from CryptoQuant analyst Carmelo Aleman detailed this return, pointing to a growing trend of retail investors joining the market again. These participants, while not always accurate in timing the market like institutional traders, serve as an early sign of shifting sentiment. Aleman explained their presence often triggers stronger narratives and helps draw even more buying interest, creating a feedback loop.
Since April 28, a specific on-chain metric called the BTC: Retail Investor 30-Day Change indicator has shown a 3.4% rise in small investor activity. This number, which covers data through May 13, suggests a strong uptick in confidence from casual participants.
Retail Shift May Lift All Crypto
Aleman believes this shift could have ripple effects beyond Bitcoin. If the upward movement continues, these smaller investors may begin placing funds into other crypto-related sectors like DeFi, staking, and futures.
This could benefit the entire crypto space, as small investors are likely to diversify into other projects, including DeFi, staking, futures, and other instruments.” he noted.
Aleman also encouraged watching additional signals such as new wallet addresses, transfer volumes, and UTXO counts. These typically rise in tandem with retail investor activity and could confirm a larger market trend.
In parallel, another analyst from CryptoQuant, Avocado Onchain, focused on a different metric called Binary Coin Days Destroyed, or Binary CDD. This tool measures when old, unused Bitcoin is moved. An increasing Binary CDD usually suggests that long-term holders are starting to take action—either selling or shifting their positions in response to price changes.
Bitcoin Binary CDD Near Key Level
In previous market peaks, like late 2021 and again in March and December 2024, the Binary CDD crossed the 0.8 mark. That level typically signals a point where older holders begin to offload some of their coins.
Currently, the Binary CDD is on the rise again and is around 0.6.6. If it crosses the 0.8 mark again, it may mean a round of profit-taking is near, especially from those who have held long-term positions.
However, rather than suggesting an immediate sell-off, the indicator could also show that major investors are adjusting their holdings as the market shifts.
As of now, Bitcoin trades at $102,226. Over the last 24 hours, the price dropped 1.46%, though it’s still up 2.59% over the past week. With both retail buying and long-term holders adjusting their positions, the market appears to be approaching a moment where new directions may form.
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