As Bitcoin (BTC) continues to hover around the $19K zone, small and medium addresses are scaling heights, according to Santiment.

The provider of market knowledge explained:

“Small and medium Bitcoin addresses (containing 0.1 to 10 BTC) have an AllTimeHigh of 15.9% of the available supply of the coin.”

Source:Santiment

Therefore, Bitcoin addresses have witnessed increased activity. Santimento additional:

“The number of Bitcoin addresses holding 10,000 to 100,000 $BTC and addresses holding 10 to 100 BTC have reached their highest number of respective addresses since February 2021. As the number of addresses in a network, the utility company should do the same.”

Source: Sentiment

The market insight provider expects the use case for Bitcoin to increase as the number of addresses increases. This is a bullish sign because demand could increase, pushing prices higher.

Holding ground at the $19.3K level is crucial

With Bitcoin lacking a significant upside thanks to tighter macroeconomic conditions, Michael van de Poppe believes holding the $19,300 zone is critical because this may spark a push towards the $22,000 area. the cryptanalyst he pointed:

“The area around $19.3K is key to hold and then we can expand to $22.2K.”

Source:TradingView/MichaelvandePoppe

Similar sentiments were recently shared by analyst Ali Martinez, who stipulated that the leading cryptocurrency should stay above $19,200 to reduce selling pressure, Blockchain.News reported.

Bitcoin hovered around $19,260 during intraday trading, according to CoinMarketCap.

On the other hand, a market analyst under the pseudonym Tajo Crypto believes that Bitcoin is not yet out of the consolidation forest due to unfavorable conditions such as inflation and interest rate hikes. Crypto Slash indicated:

“Bitcoin has been between $18,000 and $25,000 since July and there doesn’t seem to be enough catalyst for it to drop to $17,000 or rise to $26,000. Inflation and rising rates will see Bitcoin continue to struggle until prices normalize. Bitcoin’s consolidation is far from over.”

So it remains to be seen how the market plays out in the short term because UNCTAD recently warned that if tighter fiscal and monetary policies continue, a global recession would be inevitable.

Image Source: Shutterstock