Onchain data shows that the number of Bitcoin wallets holding at least $100 is nearing record highs, signaling renewed interest in the cryptocurrency market.
Bitcoin Wallet Growth Reflects Market Optimism
According to Binance, Bitcoin wallet addresses holding $100 or more grew from 24 million in January 2024 to nearly 30 million in early 2025—a 25% year-on-year increase. Binance’s blog described the trend as an influx of new market participants, highlighting optimism among investors.
Historically, spikes in wallet growth have coincided with bull markets, such as in late 2017 and 2021. A similar surge was observed in mid-2024, driven by Bitcoin’s rise above the $100,000 mark.
The approval of spot Bitcoin ETFs, including BlackRock’s iShares Bitcoin Trust (IBIT), significantly boosted institutional adoption. By the end of 2024, ETF holdings had doubled to 1.25 million BTC, with IBIT alone managing over $50 billion in assets.
Network Security Reaches New Heights
Bitcoin’s network security hit an all-time high in January 2025, with the hashrate surpassing 800 exahashes per second (EH/s), a 33% increase from 600 EH/s the previous year.
Binance noted in its blog that Bitcoin’s computing power now exceeds the combined capabilities of tech giants like Amazon AWS, Google Cloud, and Microsoft Azure, which together contribute less than 1% of the network’s total capacity.
Hashrate, a key indicator of network security, reflects the computational power used to process and secure transactions. A rising hashrate signals strong miner confidence in Bitcoin’s future.
Market Sentiment and Accumulation Trends
Market sentiment remains bullish, with 86% of Bitcoin in circulation currently “in profit,” according to CryptoQuant. Accumulator addresses—wallets consistently purchasing Bitcoin without selling—are recording a monthly inflow of 495,000 BTC, marking a new high.
CryptoQuant CEO Ki Young Ju highlighted a divergence in Bitcoin holder behavior. On X, he noted that retail investors with less than 1 BTC are selling, while those with 1 BTC or more continue accumulating.
Ju described the current market as being in the “early distribution phase” of the bull cycle. While large holders (whales) traditionally offload Bitcoin to retail investors, this cycle shows a shift. “OG retail investors and whales” are transferring Bitcoin to new retail participants and institutional players holding paper Bitcoin through ETFs and corporate stocks.
Ju expects the final distribution phase, led by retail investors, to unfold later this year or into 2026.