Bitcoin supply held by long-term holders hits all-time high — Research
Data from Glassnode suggests that Bitcoin (BTC) is in an accumulation pattern with its available supply reaching a new historical low. According to the report, Bitcoin’s illiquid supply and long-term holders cohort rise.
As Bitcoin’s supply tightens, available BTC is being purchased by smaller, long-term holding entities.
Bitcoin accumulation among a majority of investor cohorts and the bullish conviction of long-term holders equates to investors gobbling up “92% of the newly mined supply” according to Glassnode analysis.
On the backs of smaller entities gobbling up Bitcoin’s minted supply, long-term holders have reached new highs versus short-term holders, something not seen since July 2023. In addition to the solid long-term holder ratio, short-term holder supply diminished to all-time lows.
The combined effect is creating a tightening of the BTC supply available for purchase, which is possibly helping to keep Bitcoin price above $34,000 and providing strong support above $30,000.
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In comments to Cointelegraph, LMAX Group market strategistJoel Kruger explained how a Bitcoin price breakout to $40,000 could occur,
Illiquid coins with Bitcoin’s finite supply are typically a bullish market indicator. The illiquid Bitcoin supply continues on pace for monthly inflows for another year. The net increase of illiquid Bitcoin is 71,000 BTC per month.
Related: Exchange flow gap hits 10K BTC — 5 things to know in Bitcoin this week
The growing confidence in Bitcoin amidst the tightening supply is not limited only to smaller entities. Nearly all entity cohorts are increasing their Bitcoin holdings year-to-date, an action that is well
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