7 months ago
40 ARTICLE AD
Data from the on-chain analytics firm Glassnode has revealed that around 9.5% of the Bitcoin supply changed hands above the $60,000 level.
1.87 Million Bitcoin Was Acquired At Price Levels Higher Than $60,000
In its latest weekly report, Glassnode has shared how the supply distribution of Bitcoin looks in terms of which levels the investors last bought their coins at.
The chart shows that 9.5% of the entire circulating supply (1.875 million BTC) was bought at prices higher than $60,000. In the same graph, the analytics firm has also highlighted how this distribution breaks down between short-term and long-term holders.
The short-term holder (STH) and long-term holder (LTH) groups make up the two main divisions of the Bitcoin market based on coin holding time.
The cutoff between the two is 155 days, meaning that investors who bought their coins within the last 155 days fall into the short-term holders (STHs) category, while those above belong to the long-term holders (LTHs) category.
As the chart shows, the supply purchased above the $60,000 mark overwhelmingly belongs to the STHs. Interestingly, though, it also includes some LTHs, which would be the holders who bought way back during the 2021 bull run.
It would appear that some of the investors who ended up buying the top back then somehow had the conviction to stand their ground all this time, and now, patience has rewarded them, for they will finally be back in the green (or at least near their break-even mark).
Such a significant part of the supply has been bought at these high levels partly because the asset has gone through a sharp rally recently, which has garnered a lot of interest, so a large amount of buying has been occurring.
The other part of this would be the inflows towards the Bitcoin spot exchange-traded funds (ETFs), which have also been occurring at notable scales at these relatively high prices.
Speaking of the STHs and LTHs, the latter is generally considered to include the most stubborn part of the market, as these HODLers don’t sell very often despite whatever may be happening in the market.
Recently, however, it seems these diamond hands have finally been breaking their silence significantly as their supply has been riding a downtrend.
The chart shows that the Bitcoin LTHs have shed 900,000 BTC from their supply since December. It would appear that these HODLers have been harvesting the profits they would have accumulated during their long haul.
Glassnode points out that around 286,000 BTC from this can be attributed to the Grayscale Bitcoin Trust (GBTC) outflows.
BTC Price
At the time of writing, Bitcoin is trading at around $66,100, down more than 3% over the past week.
Featured image from Kanchanara on Unsplash.com, Glassnode.com, chart from TradingView.com
