On-chain analytics provider Glassnode has recently released a report indicating that over 50% of the bitcoin (BTC) supply is dormant, pointing to a prevalent trend of holding and accumulating it.
According to the data, these coins have been static for the last two years, with an all-time high of 53% of supply last active more than two years ago. This suggests that those who bought the digital asset more than two years ago are unwilling to sell.
Notably, Anthony Pompliano, a popular industry influencer, tweeted that nearly 29% of all bitcoin in circulation has been dormant for the last five years. Glassnode’s data also indicates that just under 15% of all circulating bitcoin has remained inactive for a decade.
Pompliano estimates that this accounts for more than $150 billion in market cap that have remained untouched for half a decade and over 2.7 million BTC lost, forgotten, or held by the most disciplined investors in the world.
Non-zero bitcoin addresses reach an all-time high
Glassnode reported over the weekend that the number of non-zero Bitcoin addresses had reached an all-time high of 45.5 million, indicating a rise in on-chain activity. Furthermore, Bitcoin inflow volumes to exchanges have recently reached a monthly low, meaning that more holding and self-custody are occurring.
Typically, high inflows to centralized exchanges signal an increase in selling pressure, which is the opposite of what is happening now. With inflow volumes at a monthly low, selling pressure appears to be subsiding.
Bitcoin’s price rose a few percent during the Monday morning Asian trading session, reaching a five-day high of $28,500 before falling slightly. At the time of writing, the asset is trading at just below $28,315.
BTC has been consolidating in a tight range-bound channel for the past three weeks, but on-chain data indicates that a bullish trend reversal could occur this year.
Rony Roy
Source link
