Long-Term Bitcoin Holders Accumulate 1.38 BTC for Every 1 BTC Sold by Short-Term Holders

Long-term Bitcoin holders have demonstrated a strong commitment to the cryptocurrency by accumulating more BTC than short-term holders have sold. For every 1 BTC sold by short-term holders, long-term holders (LTHs) have accumulated 1.38 BTC. This trend is a clear indication of their dedication as Bitcoin continues its recovery.

Since reaching a low point in January, LTHs have accumulated 635,340 BTC, increasing their total holdings to 13,755,722 BTC. This group, defined as those who have held Bitcoin for at least 155 days, typically buys during market weakness and sells during strength. In contrast, short-term holders (STHs), who acquired BTC within the last 155 days, have distributed 460,896 BTC, often through profit-taking or selling at a loss. Their holdings now stand at 3,516,265 BTC.

The 155-day threshold corresponds to a period around November 20, when Bitcoin's price surged from $65,000 to $95,000. Many investors who bought during this surge have since transitioned into long-term status, reinforcing the conviction behind that move. Despite a 30% drawdown from Bitcoin’s all-time high of $109,000 reached in January, LTHs on average have continued to hold.

Although Bitcoin has rebounded above $90,000 after holding below that level since early March, a substantial number of coins remain underwater. Approximately 2.6 million BTC are currently at a loss, about half of the 5 million BTC peak from earlier this month, but still indicative of heavy unrealized losses. Many of these coins were purchased during the euphoric run-up past $100,000.