2 - 4 minute read
Bitcoin, the world’s first and largest cryptocurrency, is currently experiencing a resurgence in its price and popularity. As of January 13th, data from CoinMarketCap indicates that the total number of unique Bitcoin holders stood at 43,540,424. This represents a share of about 0.54% of the global population of 8,010,885,391 at the time of publishing, according to Worldometer data. This means that every 184th person globally potentially owns some Bitcoin.
This is a significant increase from a previous report by Finbold in August 2022, which stated that every 226th person globally owned Bitcoin valued between $1 and $99.99. However, it is important to note that a single individual can own several Bitcoin addresses.
The recent increase in Bitcoin ownership can be attributed to the asset’s current attempt to exit the bear market. In 2022, the price of Bitcoin dropped to record lows, which attracted new investors who saw the dip as an opportunity to buy in. This is a common trend in the crypto market, as a price drop presents an opportunity for investors who believe in the future of the asset to accumulate and profit from the fear of missing out (FOMO).
Bitcoin’s adoption has also been aided by developing countries where the asset offers tangible benefits such as a possible solution for devalued local currencies. These countries are dominated by significant inflation, with Bitcoin standing out as a likely hedge. For example, in an environment of high inflation and devaluation of most global currencies, BTC has seen an influx of investors who view the asset as a hedge to profit from arbitrage and as a means for efficient transactions, wealth preservation, e-commerce, and remittances.
The increasing number of Bitcoin holders is a positive indication of the asset’s progress towards mainstream adoption. Despite this progress, the trajectory still faces several obstacles such as regulatory scrutiny and market volatility, which impact investor confidence. A previous Finbold report also highlighted the potential of Bitcoin, stating that the asset’s blockchain accounted for over $8 trillion in transactions across 2022 despite the depressed markets.
At the time of writing, Bitcoin is targeting the $20,000 position after breaching key support levels. The asset was trading at $19,956 with daily gains of over 6% and weekly gains of 18%. This increase in buying pressure has also translated to a market cap of $383.93 billion.
The number of unique Bitcoin holders is on the rise, with current data indicating that every 184th person globally potentially owns some Bitcoin. This is a positive indication of the asset’s progress towards mainstream adoption, but regulatory scrutiny and market volatility remain obstacles that impact investor confidence. The potential of Bitcoin is further highlighted by the asset’s blockchain accounting for over $8 trillion in transactions across 2022 despite the depressed markets.