The number of non-zero BTC addresses reaches an all-time high of 40 million

On-chain statistics as of February indicate that positive sentiment around Bitcoin can be seen as addresses holding non-zero Bitcoin balances reach all-time highs.

Additionally, those wallets with positive BTC balances are increasingly holding Bitcoin. The circulating supply of BTC, which last moved three to five years ago, hit a four-year high of more than 2.8 million bitcoins, according to on-chain analytics firm Glassnode.

The number of Bitcoin non-zero addresses just hit ATH of 40,276,163
The previously observed ATH value of 40,275,801 was observed on February 05, 2022
Check out the metrics: https://t.co/VtoChZbLsa pic.twitter.com/hTnHlN9GeU
— glassnode alerts (@glassnodealerts) February 27, 2022
Throughout 2019 and 2020, the number of addresses with non-zero balances increased sharply, until mid-2021, growth appears to be leveling off around 35 million addresses. However, the growth of this metric has skyrocketed since the beginning of 2022, with a new ATH of 40,276,163, according to Glassnode.

Glassnode reported that 817,445 of the addresses with non-zero balances held at least one full bitcoin, a 10-month high set on February 28.

Bitcoin’s supply-side dynamics have provided several notable metrics over the past month. According to a report by FSInsight on February 9, 75% of the circulating supply of BTC is illiquid due to no movement in the period. The financial research firm's report describes the situation as a "powder keg" that explodes once the right amount of BTC is bought in the market.

Political turmoil in Canada and Ukraine in February also brought more clarity to Bitcoin’s censorship-resistant capabilities. Some Canadians have adopted bitcoin to protect their funds from being frozen, and the Ukrainian government is now accepting bitcoin donations as tensions escalate.

As of this writing, BTC is trading at $37,827, down about 45 percent from its all-time high of $69,000 on Nov. 10, according to CoinGecko.