Long-Term Holders’ Pattern
IntoTheBlock, a market intelligence platform, has identified a pattern in Bitcoin’s long-term holders (LTHs) that suggests the bull market may not be over yet. LTHs are investors who have held their coins for over a year.
LTHs and Market Resilience
LTHs are considered the most resilient investors, as they tend to hold onto their coins through market ups and downs. However, recent data shows that LTHs have been selling their coins.
Current LTH Trend
The chart below shows the trend in LTH holdings over the past few years. As you can see, LTHs accumulated during the 2022 bear market and the 2023 rally. However, their holdings have recently turned negative.
Selling Pattern
Unlike buying, selling resets the age of coins to zero. Therefore, the recent downtrend in LTH holdings reflects a current selloff.
Comparison to Previous Bull Runs
Interestingly, a similar pattern was observed during the last two bull runs. LTHs tend to start selling when the bull run begins and continue selling beyond the peak.
Plenty of Time Remaining
Based on this pattern, IntoTheBlock suggests that “there is plenty of time remaining when compared to previous cycles.”
Current Bitcoin Price
At the time of writing, Bitcoin is trading around $64,400, up over 1% in the past week.
