> ## Content Index > Fetch the complete content index at: https://research.glassnode.com/llms.txt > Use this file to discover other available public pages before exploring further. # The Week On-Chain (11 Mar 2020 - 18 Mar 2020) - URL: https://research.glassnode.com/the-week-on-chain-19-mar-2020/ - Published: 2020-03-19T18:28:15.000Z - Updated: 2020-03-20T14:16:23.000Z - Description: After last week's crash, BTC looks poised to rally as HODLers buy the dip - but will this last? - Author: Liesl Eichholz - Tags: The Week On-chain --- ## Bitcoin Market Health After the massive BTC price drop last Thursday, the price continued to decline before stabilising around $5000-5500\. At its lowest point, bitcoin experienced a 50% drop from its price a month ago. However, we are seeing a rebound today, with **BTC rising almost 16% in the last 24 hours and passing the $6k mark** on many exchanges. ![](https://storage.ghost.io/c/25/7e/257e6d23-09bb-4d1c-b3ed-16ff70eb3f9f/content/images/2020/03/Week-12_-Bitcoin-Price-Fundamentals-1.png) Meanwhile, on-chain fundamentals are varied. Transaction volume is up almost 2x since the beginning of the year, signalling increased economic activity. ![](https://storage.ghost.io/c/25/7e/257e6d23-09bb-4d1c-b3ed-16ff70eb3f9f/content/images/2020/03/Week-12_-Bitcoin-On-Chain-Fundamentals.png) For the second week in a row, transaction count has decreased while volume has increased, suggesting that the average value of transactions is much higher than usual. This could signal both large sales as people attempt to minimize losses, and large purchases as investors buy the dip. --- ## HODLers Are Buying The Dip The [Hodler Net Position Change](https://studio.glassnode.com/metrics?a=BTC&m=indicators.HodlerNetPositionChange&resolution=24h&s=1490009233&u=1584617233&zoom=1095) metric shows that long-term bitcoin holders are buying the dip. When this metric is above zero (green), it means that, on average, hodlers are accumulating BTC. When below zero, it means hodlers are selling (likely realizing profits). ![](https://storage.ghost.io/c/25/7e/257e6d23-09bb-4d1c-b3ed-16ff70eb3f9f/content/images/2020/03/glassnode-studio_bitcoin-hodler-net-position-change--2--1.png) Hodlers are using this dip as an opportunity to accumulate more BTC ([Glassnode Studio](https://studio.glassnode.com/metrics?a=BTC&m=indicators.HodlerNetPositionChange&resolution=24h&s=1490011472&u=1584619472&zoom=1095)) We can see that this February, when prices approached $10k, hodlers stopped accumulating more BTC, potentially having identified it as a market top. However, during the crash last week, hodlers began accumulating, signalling confidence in BTC at this price point. Long-term investors appear have identified this as the bottom, which today's price increase supports. --- ## Community Narrative **Content and insights derived from Glassnode data by our community* Using Glassnode data, based on our [summary](https://research.glassnode.com/what-really-happened-to-makerdao/) of the MakerDAO zero-bid exploit, [@RyanSAdams](https://twitter.com/RyanSAdams) pointed out the dangers of relying on nascent infrastructure for something as important as financial applications. > Black Thursday's DeFi stress test in a picture: > > Does your protocol still work when gas prices look like this? [pic.twitter.com/yoT1jD14X8](https://t.co/yoT1jD14X8) > > — Ryan Sean Adams - rsa.eth (@RyanSAdams) [March 17, 2020](https://twitter.com/RyanSAdams/status/1239963795432202240?ref%5Fsrc=twsrc%5Etfw) Many commentators have used this as an example of the fact that core blockchain infrastructure has far to go before it can be trusted to support critical financial functions (such as lending) at scale. Read the article for the full breakdown (and a TL;DR) of the exploit: [What Really Happened To MakerDAO?Black Thursday: The sell-off of 12 March resulted in $4.5 million of unbacked DAI in the MakerDAO system. What really happened?![](https://research.glassnode.com/favicon.png)Glassnode Insights - On-Chain Market IntelligenceLiesl Eichholz![](https://storage.ghost.io/c/25/7e/257e6d23-09bb-4d1c-b3ed-16ff70eb3f9f/content/images/2020/03/Insights-Banner--2--1.png)](https://research.glassnode.com/what-really-happened-to-makerdao/) Remember to [send us](https://twitter.com/glassnode) your own content using Glassnode data to be featured in our next weekly update. --- ![](https://storage.ghost.io/c/25/7e/257e6d23-09bb-4d1c-b3ed-16ff70eb3f9f/content/images/2020/02/image-1.png) - Follow us and reach out on [Twitter](https://twitter.com/glassnode) - For on–chain metrics and activity graphs, visit [Glassnode Studio](https://studio.glassnode.com/) - For automated alerts on core on–chain metrics and activity on exchanges, visit our [Glassnode Alerts Twitter](https://twitter.com/glassnodealerts) **Disclaimer: This report does not provide any investment advice. All data is provided for information purposes only. No investment decision shall be based on the information provided here and you are solely responsible for your own investment decisions.*