Bitcoin News Today: Bitcoin's Silent Majority: A 72% HODL as Long-Term Faith Rises

Bitcoin's illiquid supply—a measure of coins held with little to no transactional activity—reached a record high of 14.3 million BTC in late August 2025, according to data from on-chain analytics firm Glassnode. This figure represents approximately 72% of the total circulating supply of 19.9 million BTC, a clear indication of strong long-term accumulation despite recent market volatility. The rise in illiquid supply suggests a growing trend of investors treating Bitcoin as a long-term store of value rather than a short-term speculative asset [1].

Despite Bitcoin hitting an all-time high of $124,000 in mid-August, it has since pulled back roughly 15%, yet the illiquid supply continued to expand. Over the past 30 days, this category saw a net increase of 20,000 BTC, further reinforcing the conviction of long-term holders. The persistence of accumulation during a correction phase highlights the resilience of investor sentiment and the belief in Bitcoin's long-term potential [2].

Market analysts interpret the growing illiquid supply as a tightening of Bitcoin’s circulating supply dynamics, which could support a renewed price surge once market sentiment improves. The trend also reflects a broader shift in how investors approach digital assets, with more institutional and individual participants opting to hold Bitcoin as a strategic reserve asset. This behavior mirrors that seen in traditional markets, where long-term positioning often signals confidence in future appreciation [3].

The continued rise in illiquid supply is occurring alongside broader institutional adoption across the crypto ecosystem. Treasury companies have become significant players, with entities like MicroStrategy and BitMine purchasing large quantities of Bitcoin and Ethereum, respectively. These institutions are not only buying large quantities but are also building treasuries and diversifying into multiple digital assets, including Solana and BNB. The institutional shift is reshaping the market structure, with greater emphasis placed on long-term strategy and capital preservation [4].

On the retail side, adoption is also on the rise, with India and the United States leading the charge. Chainalysis’ 2025 Geography of Cryptocurrency Report highlights India as the top performer in all categories of crypto adoption, including retail, DeFi, and institutional flows. The U.S. ranks second, largely driven by the influx of capital from newly approved spot Bitcoin ETFs. Both countries are experiencing a surge in on-chain activity, with India leading in grassroots adoption and the U.S. excelling in institutional-driven inflows. Stablecoins, particularly USDT and USDC, continue to dominate global flows, with newer stablecoins like EURC and PYUSD gaining traction [5].

The increasing accumulation of Bitcoin by long-term holders, combined with institutional buying and rising adoption across both retail and institutional sectors, underscores a maturing market. As more investors and institutions choose to HODL rather than trade, the narrative around Bitcoin is shifting toward its role as a store of value and a hedge against macroeconomic uncertainty. This trend is likely to persist as more financial infrastructure aligns with digital assets and regulatory clarity continues to improve [5].

Source:

[1] Coindesk - [https://www.coindesk.com/markets/2025/09/07/bitcoin-illiquid-supply-hits-record-14-3m-as-long-term-holders-continue-to-accumulate](https://www.coindesk.com/markets/2025/09/07/bitcoin-illiquid-supply-hits-record-14-3m-as-long-term-holders-continue-to-accumulate)

[2] Yahoo Finance - [https://finance.yahoo.com/news/bitcoin-illiquid-supply-hits-record-140000257.html](https://finance.yahoo.com/news/bitcoin-illiquid-supply-hits-record-140000257.html)

[3] Coindesk - [https://www.coindesk.com/business/2025/09/06/bitcoin-and-stablecoins-dominate-as-india-u-s-top-2025-crypto-adoption-index](https://www.coindesk.com/business/2025/09/06/bitcoin-and-stablecoins-dominate-as-india-u-s-top-2025-crypto-adoption-index)

[4] Token Metrics - [https://www.tokenmetrics.com/blog/crypto-hodl-the-long-term-investment-strategy-for-building-wealth-in-2025?0fad35da_page=3&74e29fd5_page=2](https://www.tokenmetrics.com/blog/crypto-hodl-the-long-term-investment-strategy-for-building-wealth-in-2025?0fad35da_page=3&74e29fd5_page=2)