Bitcoin Supply Dormancy Reaches ATH, Suggesting Hodling Behavior Among Investors
Bitcoin’s supply dormancy has reached an all-time high (ATH), according to a recent report by Glassnode, an on-chain analytics firm. The report reveals that approximately 40.083% of Bitcoin’s total supply has been inactive for over three years, indicating that a significant portion of Bitcoin holders has not moved their assets despite the extreme price volatility that characterizes the Bitcoin market.
📈 #Bitcoin $BTC Percent Supply Last Active 3+ Years just reached an ATH of 40.083%
View metric:https://t.co/ari6mxFMpi pic.twitter.com/s0SUujuXpu
— glassnode alerts (@glassnodealerts) May 14, 2023
This metric is often used to gauge investor behavior and sentiment. High dormancy typically indicates a hodling behavior, where Bitcoin holders, or “hodlers,” are confidently holding their assets despite market fluctuations, anticipating a long-term price increase. The report suggests that a growing number of investors are holding onto their Bitcoin for the long-term, which bodes well for the cryptocurrency’s future price performance.
The rise of wholecoiners is another fascinating development in the Bitcoin community. According to Rafael Schultze-Kraft, the co-founder of Glassnode, the number of Bitcoin addresses that hold at least one whole Bitcoin (BTC) has now reached a milestone of 1 million. This trend suggests a growing number of individuals or entities accumulating Bitcoin, notwithstanding its high price point.
1 Million Wholecoiner Addresses#Bitcoin pic.twitter.com/4ywupjEfOu
— Rafael Schultze-Kraft (@n3ocortex) May 12, 2023
Owning an entire Bitcoin is perceived as a significant achievement within the cryptocurrency community. As the total supply of Bitcoin is capped at 21 million, owning a whole coin means holding a sizable fraction of a finite asset. The fact that the number of wholecoiners has reached 1 million is a testament to the increasing popularity and adoption of Bitcoin.
The report by Glassnode indicates that despite the high volatility of Bitcoin, many investors are confident in its long-term potential and are holding onto their assets. This is a positive development for the cryptocurrency market as a whole, as it suggests that more investors are beginning to see Bitcoin as a viable long-term investment.
In conclusion, the latest report by Glassnode reveals that Bitcoin’s supply dormancy has reached an all-time high, indicating a growing number of hodlers who are confident in the long-term potential of the cryptocurrency. Additionally, the number of wholecoiners has reached a milestone of 1 million, highlighting the growing popularity and adoption of Bitcoin. These trends suggest that the cryptocurrency market is evolving, with more investors seeing Bitcoin as a viable long-term investment.
- Bitcoin Miners Under Pressure As Net Position Turns Negative
- Bitcoin Overheated? Puell Multiple Hits Levels Not Seen Since Late 2021