75% of all Bitcoin has been hodled for over 6 months
Around three-quarters of all circulating Bitcoin hasn’t been moved for the past six months or more, according to onchain data.
The findings come from Glassnode’s Hodl Wave chart, which uses blockchain data to give a macro view of Bitcoin ( BTC ) held in wallets based on the age since they last moved.
It’s a significant jump from only a week ago, on Aug. 11, when onchain analytics platform Glassnode data showed that almost half the BTC supply, around 45%, had been dormant for at least six months.
However, the data now shows around 74% has been stationary for most of this year despite the asset falling 21% from its all-time high .
BTC Hodl Waves. Source: Unchained/GlassnodeThe dominance of older coins suggests that long-term investors are increasingly holding onto their BTC as a store of value, possibly anticipating future price increases.
The holding trend also results in a reduced supply of Bitcoin available for trading. This could lead to price appreciation as demand increases and supply is squeezed.
Meanwhile, in a post on X on Aug. 19, onchain analyst James Check observed that more than 80% of Bitcoin short-term holders are underwater as their holdings were acquired at higher than current spot prices.
He cautioned that this could lead to further downsides if they panic sell as they did in previous years. Short-term holders are those who have held BTC for fewer than 155 days.
“This is similar to 2018, 2019, and mid-2021, which signaled many investors were at risk of panicking and precipitating a bearish trend.”High STH BTC supply at loss. Source: James Check
Related: 45% of Bitcoin supply has not moved in 6 months — Research
At the time, broader market sentiment is still bearish, with the Bitcoin Fear Greed Index registering a score of 28 and fear. Over the past few weeks, it has returned to fear levels not seen since December 2022.
Bitcoin prices topped $60,000 in late weekend trading. However, they have since retreated sharply, falling to $58,619 at the time of writing.
Magazine: Bitcoin bull rally far from over, MetaMask partners with Mastercard, and more: Hodler’s Digest Aug 11 – 17
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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