Kaspa (KAS) Supply Dormancy Hits 75.19% Amid Accumulation Trend

Kaspa (KAS) is exhibiting signs of growing strength and accumulation, with a significant portion of its supply remaining unmoved for extended periods. According to KaspaDaily, more than 75% of KAS coins have not been transferred in over three months, marking the highest level of dormancy ever recorded. This trend began in August 2024, with the percentage of unmoved KAS rising from around 47% to 75.19% by May 7, 2025, when the price of KAS was $0.08.

Despite price fluctuations between $0.04 and over $0.20, the amount of unmoved supply has consistently increased. Price dips in March and May did not deter long-term holders, who continued to hold their positions, likely moving coins off exchanges for long-term storage. This behavior is indicative of a market where investors are accumulating and holding onto their assets, which could potentially drive the price higher once demand increases.

KAS futures open interest has remained stable between $120 million and $150 million over the past month, despite the price falling from about $0.09 to a low of $0.065. This stability suggests that leveraged traders are not panicking and are maintaining their positions, which is typical during an accumulation phase. There have been no significant liquidations or shifts in positioning, indicating a calm market where traders are not reacting to every price movement.

Exchange-held KAS has decreased to a six-month low, further supporting the view that selling pressure is diminishing. More tokens are being transferred to private wallets or cold storage, reducing the supply available for active trading. Concurrently, the number of medium- and long-term holders is increasing, contributing to the overall trend of muted accumulation. These holders are less sensitive to short-term price movements, reinforcing the market's stability.

The market structure for KAS suggests a tightening supply, with steady open interest, shrinking exchange balances, and rising dormant supply. This environment is often observed before upward price movements. Market participants are now closely monitoring for any signs of returning demand, which could challenge the current supply setup and potentially accelerate price increases. If buyers re-enter the market, the limited availability of KAS could drive the price higher.