After a terrible weekend, investors at least got a good start to the week when Bitcoin (BTC) and Ethereum (ETH) temporarily traded at new weekly highs before falling the next day. BTC fluctuated between $18,000 and $19,000 last week, trading below the $20,000 mark. The week began with a bearish candle, but prices unexpectedly rose over the $20k region to set new weekly highs before falling.
Bitcoin’s price action remains uncertain as it has been unable to break above or below its current range. The cryptocurrency experienced positive volatility in yesterday’s trading session, but today’s gains were again limited as macroeconomic forces regained control of BTC. The major cryptocurrency has been able to maintain some of its gains over the past week, but most are still trading in line with the market sentiment.
As macroeconomic variables outweigh the overall crypto market, investors are choosing the “HODL” investment approach. In instance, according to data from Glassnode, the amount of Bitcoin held in HODL positions reached a five-year record high on September 29 at 7,509,524.362 BTC, or $341.55 billion.
It is important to note that for long-term investors, it makes sense to hold the asset as selling would result in a loss. According to data from Glassnode, long-term bitcoin owners are currently selling assets for a loss of around 42% in this scenario.
Some investors seem to be seeing Bitcoin as growing more valuable, and any price drops make it an attractive investment. In fact, research indicates that investors are likely to favor Bitcoin given the widespread decline in the value of the pound sterling, as evidenced by the amount of GBP/BTC trade.
