Bitcoin investors go long: 60.61% of BTC hasn’t moved

While Bitcoin might be battling to hold a $40,000 USD price tag, it seems the bearish value (compared to its all-time high in November) is not indicative of a massive selloff.

Bitcoin’s highest value in the last seven days is just above $44,500 USD. At the time of writing, it is holding a $38,263.00 USD value and in the past few weeks the cryptocurrency has been struggling to see and maintain the $40,000 USD range. Towards the end of this week, Bitcoin fell from just above $43,000 USD and it has been fighting to keep above $38,000 USD over the weekend.

 

Source: Coingecko

Despite this, however, data shows that Bitcoin traders and long-term investors are not looking to sell their Bitcoin tokens. According to data from Glassnode, a cryptocurrency on-chain analytic firm, more than 60% of all of the Bitcoin supply has not moved in the past year.

According to research of Bitcoin holding waves, long-terms investors in the cryptocurrency space are hanging onto their tokens. Any volatility that is in the industry comes from short-term investors or traders.

Experts predicted that the significant drop in values posted now compared to November would see investors short the token to pull profits before it sank. However, long-term traders seem content with their holdings now more than ever before. Not only are they hanging onto their currency holdings, but some investors are adding to their cryptocurrency portfolios. According to Glassnode’s data, 60.61% of the total Bitcoin supply currently owned and in circulation has not moved hands for over a year.

Source: Glassnode

Historically, this trend is not common and the two times Bitcoin’s price action and long-term trader behaviour has seen this activity, it has followed a downtrend (as is the current climate) and a significant rally followed. If this is to be the case third-time round in the trend, Bitcoin’s price can be expected to see bullish price action despite any current tension and concerns in the market.

As noted previously, watching what long-term investors and institutions are doing might give an idea of where they see the market going. With this, long-term Bitcoin investors are clearly happy to maintain their position and institutions haven’t been selling off either.

Does this mean it is too late to buy Bitcoin?

While Bitcoin’s volatility might point to short-term trends, it might not be overall that important. Inherently, Bitcoin is still a volatile new asset so the value is known to surge and sink without a great deal of warning. But if new investors look at the long-term investors as a benchmark for the token, they’ll see signs that buying Bitcoin now while it’s at a slight dip might not be a bad idea.

Trying to position the best time to buy cryptocurrency is a difficult prediction to make without knowledge of where the market might go. According to investment Wells Fargo, the industry is still nascent and it’s unlikely that new investors have missed the boat. If an investor is looking to buy as a long-term asset, buying Bitcoin might not be a bad bet. Buying alternative up and coming cryptocurrencies can be a higher-risk higher-reward too. Solana, for example, is a relatively new project that has seen enormous gains over the past year; positioning itself as a network to compete with Ethereum. If you’re considering buying an alternative crypto – or an altcoin – remember to conduct thorough research and look at the function, not the hype around the token.

Related Articles

Singapore Authorities Warn Businesses of Bitcoin Ransomware Threat

Singapore police advised businesses against paying ransom and asked them to report the incident to authorities immediately.

Telegram Launches In-App Currency’ Currency Stars’ for Digital Purchases

On Telegram's Fragment platform, Telegram Stars can be exchanged for Toncoin, a cryptocurrency valued at $18 billion.

Zimbabwe Central Bank Ironing Out Wrinkles in New Currency

According to reports Zimbabwe will now have a currency supported by reserves that are three times greater than its circulation.

McDonald’s Ventures into the Metaverse in Singapore

McDonald's Singapore introduces the 'My Happy Place' in the metaverse, offering locals opportunities and ways to earn rewards.

See All