Over 400,000 BTC Accumulated in $60K-$70K Range Amid Bitcoin's Sharp Correction

Strong Accumulation During Market Decline

More than 400,000 BTC have been purchased in the $60,000 to $70,000 price range during bitcoin's recent market correction, signaling substantial dip-buying activity as the leading cryptocurrency experienced a significant downturn, according to recent data from blockchain analytics firm Glassnode.

The supply held within this critical price band has climbed from approximately 997,000 BTC on January 1 to roughly 1.43 million BTC as of now, representing an increase of about 429,000 BTC, or 43%. This concentration means that more than 8% of non-exchange circulating supply currently has a cost basis within this narrow range, creating a dense cluster of ownership that could influence future price action.

Bitcoin's Broader Correction Context

Bitcoin's price has declined from approximately $88,000 on January 1 to around $63,000, forming part of a more extensive correction that has seen the digital asset drop roughly 50% from its October all-time high of $126,000. This sharp retracement has tested investor conviction and created opportunities for strategic accumulation at lower price levels.

The analysis draws from Glassnode's Unspent Transaction Output Realized Price Distribution (URPD) metric, a sophisticated tool that categorizes existing bitcoin supply according to the price at which each coin last moved on-chain. The entity-adjusted version of this metric consolidates addresses controlled by the same owner, filters out internal transfers, and excludes exchange balances, providing a more accurate representation of genuine investor cost basis and market structure.

The $70K-$80K Air Pocket Phenomenon

Market observers have previously characterized the $70,000 to $80,000 zone as an "air pocket"—a price region where bitcoin has historically seen minimal trading activity. This lack of established support or resistance in the zone became evident during the recent downturn when bitcoin plummeted from $80,000 to $70,000 in merely five days, between January 31 and February 5.

This rapid price movement through the air pocket demonstrates how quickly bitcoin can fall through areas with thin transaction history before encountering more substantial supply concentrations at lower levels. The swift descent underscores the importance of understanding on-chain distribution patterns when assessing potential support and resistance zones.

Market Implications

The substantial accumulation between $60,000 and $70,000 suggests that investors view this range as an attractive entry point despite the broader market weakness. This behavior pattern often indicates confidence in bitcoin's long-term value proposition, with market participants using significant corrections as opportunities to increase holdings.

The concentration of over 8% of circulating supply in this narrow band could serve as a formidable support zone should prices revisit these levels, as holders who purchased in this range may be reluctant to sell at a loss. Conversely, this cluster could also act as resistance if bitcoin rebounds strongly and these holders seek to exit at breakeven or modest profits.

Coinasity's Take

The 400,000 BTC accumulated between $60,000 and $70,000 during this correction represents classic dip-buying behavior from investors with conviction. While bitcoin's 50% decline from its October peak has rattled markets, the formation of this dense ownership cluster suggests strong hands are stepping in at these levels. The rapid fall through the $70,000-$80,000 air pocket serves as a reminder that technical levels without historical transaction volume offer little support during selloffs. As this supply concentration solidifies, it will likely play a crucial role in bitcoin's next major price movement—either as robust support or formidable resistance depending on market direction.