Bitcoin

Change

<ul> 
 <li><em>Bitcoin’s supply, held for more than a year, hit ATH for several age bands</em></li> 
 <li><em>A marked divergence was observed in the LTH and STH supply</em></li> 
</ul> 
<p><a href="https://ambcrypto.com/search/bitcoin" target="_blank" rel="noopener" data-wpel-link="internal">Bitcoin’s [BTC]</a> bullish catalysts have deterred experienced holders from letting go of their stashes and made HODLing an attractive option.</p> 
<p>As per AMBCrypto’s analysis of Glassnode’s data, Bitcoin’s long-term holder (LTH) supply charged to all-time highs (ATH) for several age bands in 2023. While the supply retained for at least a year accounted for 70% of all coins in circulation, unmoved stashes in the last two years increased to 57%. This was a dramatic turnaround from the distribution phase of the 2021 bull market.</p> 
<div id="attachment_358190" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago.png" data-wpel-link="internal"><img aria-describedby="caption-attachment-358190" decoding="async" class="wp-image-358190 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago.png" alt="" width="1800" height="1013" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago.png 1800w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago-300x169.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago-1024x576.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago-768x432.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-supply-last-active-1-years-ago-btc-supply-last-active-2-years-ago-btc-supply-last-active-3-years-ago-1536x864.png 1536w" sizes="(max-width: 1800px) 100vw, 1800px"></a>
 <p id="caption-attachment-358190" class="wp-caption-text">Source: Glassnode</p>
</div> 
<h3 id="accumulation-on-the-rise">Accumulation on the rise</h3> 
<p>The upcoming <a href="https://bitcoinblockhalf.com/" target="_blank" rel="noopener external noreferrer nofollow" data-wpel-link="external">halving event</a> and optimism over spot BTC ETF approvals might have contributed to the hoarding mentality. Seasoned traders were most likely preserving their holdings for the highly anticipated bull market of 2024.</p> 
<p>To further understand the HODLing regime, AMBCrypto examined Glassnode’s Hodler Net Position Change indicator. Generally, when new coins are accumulated by LTH, the indicator is represented as positive and green.</p> 
<p>As is clearly evident, LTHs have steadily accumulated since the sell-offs induced by <a href="https://ambcrypto.com/search/FTX" target="_blank" rel="noopener" data-wpel-link="internal">FTX’s</a>&nbsp;collapse last year.</p> 
<div id="attachment_358195" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc.png" data-wpel-link="internal"><img aria-describedby="caption-attachment-358195" decoding="async" class="wp-image-358195 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc.png" alt="" width="1800" height="1013" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc.png 1800w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc-300x169.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc-1024x576.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc-768x432.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_bitcoin-hodler-net-position-change-btc-1536x864.png 1536w" sizes="(max-width: 1800px) 100vw, 1800px"></a>
 <p id="caption-attachment-358195" class="wp-caption-text">Source: Glassnode</p>
</div> 
<p>Moreover, the amount of Bitcoin on exchanges has fallen to multi-year lows this year. In fact, at the time of writing, Bitcoin’s exchange reserve amounted to just 12% of the total circulating supply.</p> 
<div id="attachment_358196" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply.png" data-wpel-link="internal"><img aria-describedby="caption-attachment-358196" decoding="async" class="wp-image-358196 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply.png" alt="" width="1800" height="1013" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply.png 1800w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply-300x169.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply-1024x576.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply-768x432.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/glassnode-studio_btc-long-term-holder-supply-btc-exchange-balance-total-btc-short-term-holder-supply-1536x864.png 1536w" sizes="(max-width: 1800px) 100vw, 1800px"></a>
 <p id="caption-attachment-358196" class="wp-caption-text">Source: Glassnode</p>
</div> 
<p>Clearly, LTH were in no mood to sell. This unwillingness caused the short-term holder (STH) supply to decline further. A marked divergence was observed in the LTH and STH supply, as seen above.</p> 
<p>All of these indicators are pointing to a robust bull cycle in 2024. This is due to the fact that comparable conditions existed as a precursor to prior bull runs as well.</p>  
<p style="text-align: center;">How much are&nbsp;<a href="https://ambcrypto.com/convert/1-btc-to-usd" target="_blank" rel="noopener" data-wpel-link="internal">1,10,100 BTCs worth today</a>?</p>  
<h3 id="will-this-retracement-matter">Will this retracement matter?</h3> 
<p style="text-align: left;">The king coin has appreciated by 70% since mid-October, prompting analysts to dub the ongoing phase as the early bull market.</p> 
<p style="text-align: left;">However, the market sharply corrected in the last 24 hours as weak hands booked profits. At press time, BTC was exchanging hands at $42,000, down 4.28% as per <a href="https://coinmarketcap.com/currencies/bitcoin/" target="_blank" rel="noopener nofollow external noreferrer" data-wpel-link="external">CoinMarketCap</a>.</p> 
<p>Due to the aforementioned pullback, $85 million in BTC longs were liquidated in just four hours, according to Coinglass’ data.</p> 
<div id="attachment_358198" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-liquidations.jpg" data-wpel-link="internal"><img aria-describedby="caption-attachment-358198" decoding="async" class="wp-image-358198 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-liquidations.jpg" alt="" width="1151" height="327" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-liquidations.jpg 1151w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-liquidations-300x85.jpg 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-liquidations-1024x291.jpg 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-liquidations-768x218.jpg 768w" sizes="(max-width: 1151px) 100vw, 1151px"></a>
 <p id="caption-attachment-358198" class="wp-caption-text">Source: Coinglass</p>
</div>

Are Bitcoin’s long-term holders confident enough? Data tells us…

Table of Contents

AMBCrypto

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