Long-Term Bitcoin HODLers Still Accumulating, Suggests Conviction

Long-term bitcoin (BTC) holders have been adding to their positions over the past 10 months as supply held for shorter time periods has shrunk, based on an analysis of blockchain data by the cryptocurrency market-research firm Arcane.

Positive long-term holder behavior could support the broader uptrend in bitcoin, whose prices have nearly doubled this year.

• "The bitcoin supply last being active in three to five years has grown by 1.5 million BTC since the middle of May 2020. This suggests that long-term holders still accumulate bitcoin, not seeking to sell at these current prices," according to Arcane Research.
• The three-to-five-year active supply metric started to decline at the end of previous bull market in 2017 as bitcoin's price accelerated towards $19,000.
• The three- to five-year active supply is approaching the highs of 2017.
• Since 2019, the growth of in the three- to five-year active supply indicates confidence among long-term holders.
• On the flip side, the decline in active supply of the six-month and two-year segments indicate short-term holders have realized profits during the past year's price rally, according to Arcane Research.