Analyzed data reveals a shift in behavior by long-term Bitcoin holders, who have witnessed an increase in their supply by $8 billion.
Bitcoin HODLers Return to Accumulation Mode
Recent observations by CryptoQuant author Axel Adler Jr highlighted the rise in supply by long-term Bitcoin holders, defined as investors holding onto their coins for over 155 days. These holders represent a segment of the market less inclined to sell, even during market fluctuations, unlike short-term holders.
During the recent rally to the new all-time high price, long-term holders notably reduced their supply, but a subsequent rebound to $68,000 saw them engage in significant selling activity. However, the latest data now indicates a reversal in their behavior, with their combined supply increasing by 126,092 BTC, amounting to $8.1 billion.
While this rise in supply does not necessarily signify new purchases by long-term holders, it reflects coins acquired around five months ago that have transitioned into this category. Unlike purchases, selling resets the age of coins to zero once transferred on the blockchain, removing them from the long-term holder supply.
Recent trends indicate that long-term holders may have concluded their selling activities and switched back to holding, potentially signaling a bullish market outlook for cryptocurrency.
BTC Price
Bitcoin witnessed a bearish trend in the last 24 hours, with its price dropping by over 3% and currently hovering around $64,600. The accompanying chart illustrates the recent price movements of the asset.
