Bitcoin (BTC) endured one of its biggest sell-offs last week, plunging by nearly 50 percent in one day. However, the hodlers who were burnedby the market crash are now coming back, according to Glassnode data.<\/p>\n
Must Read<\/p>\n
The firm, which analyses Bitcoin's on-chain data, spotted that itsHODLer Net Position Change model, which helps determine when whales are selling or buying BTC,flashed green after the brutal price dump.<\/p>\n
This means that long-term hodlers followed one of the main principles of contrarian investing -- buying more when there is blood in the streets.<\/p>\n
Recently, CoinMetrics determined that short-term holders who were selling at a loss were the main force behind that black Thursday.<\/p>\n
Must Read<\/p>\n
As reported by U.Today, fiat-pegged stablecoins thrived off Bitcoin's failure to serve as a safehaven during the coronavirus pandemic. The circulating supply of Tether (USDT) swelled to $5.3 bln. <\/p>\n
However, according to Bitcoin Core developer Jimmy Song, all this money will eventually flood back into Bitcoin when investors decide that it's the right time to buy the dip.<\/p>\n
As of now, the market is in a wait-and-see mode, trying to catch the bottom of this correction.<\/p>\n
<\/p>\n