Bitcoin wallets absorb 4.37M BTC as network activity flips to 'bull phase’
Why it matters: The shift of 4.37 million BTC into long-term wallets indicates reduced sell pressure and a potential price surge for Bitcoin.
- CryptoQuant data indicates that balances held by accumulating address cohorts have surged to 4.37 million BTC as of April 7, 2026, up from 2 million BTC in early 2024, signaling sustained supply absorption.
- Retail-investor-linked accumulation addresses added approximately 857,000 BTC, while accumulating pattern wallets expanded to 1.29 million BTC, even as the price stayed below $70,000 throughout Q1 2026.
- Inflows from centralized exchanges and highly active addresses have significantly slowed, averaging 300,000 to 350,000 BTC compared to 1.2 million to 1.5 million BTC during 2023–2024 expansion phases, suggesting a tightening of liquid supply.
- The CryptoQuant Bitcoin network activity index has climbed to 3,600, moving above its 365-day moving average and entering the 'bull-phase' classification for the first time since April 2025.
- Bitcoin’s active addresses momentum dropped to -0.25 on April 6, the lowest reading since April 2018, which crypto analyst Gaah interprets as the absence of short-term participants and a dominance of long-term holders focused on accumulation.
Bitcoin (BTC) is showing strong signs of entering a bull market, with 4.37 million BTC now held in long-term, retail-investor-linked wallets, a significant increase from 2 million BTC in early 2024. This accumulation, occurring while prices remained below $70,000 in Q1 2026, coincides with a rise in the Bitcoin network activity index to 'bull-phase' levels last seen in April 2025, despite a drop in active addresses momentum.
