Bitcoin investors seem to be increasingly looking forward to price increases, and the share of Bitcoin supply that has been inactive for the past three months has soared to a record high of 85%.
On-chain analytics provider Glassnode confirmed a milestone on November 8th “Chain week” report, Concluded: “Investors just didn’t spend their coins.”
Addresses that have not moved their BTC in 12 months are called “long-term holders” (LTH) and are one of the most active token reserves-the address only moves 6,500 BTC per day.
The accumulation trend does not seem to slow down. As BTC is increasingly placed in secure storage, the share of supply held by centralized exchanges has dropped to a historical low of 12.9%.
Glassnode reported that more than 5,000 BTC (approximately US$338.6 million) were withdrawn from centralized trading venues last week. Report assertion:
“The market may still be in a quiet accumulation phase, with occasional low activity, large foreign exchange outflows, and very moderate strategic spending by experienced holders.”
The report pointed out that the increased accumulation of bitcoin by long-term holders was also a precursor to the record high of bitcoin in April.
The share of Bitcoin supply represented by long-term holders reached a high of 80.6% in August 2020, and then reached a high of approximately $66,000 in April 2021.
Since the $66,000 price point, LTH has spent 0.73% of Bitcoin’s supply, reducing their holdings to approximately 68%.