There is a reluctance to sell among long-term holders of Bitcoin (BTC) as ‘HODLing behavior’ rises, according to the latest data from on-chain analytics platform Glassnode.
Indeed, the supplier of on-chain analytics has found that investors holding Bitcoin older than one year are unwilling to sell their coins. In May 2021, following mild exchange inflows, the decrease in liquid coin supply (growing HODLing behavior) has continued, showing that conviction to keep BTC remains a significant factor in the market.
In the opinion of Glassnode, long-term HODLers (LTH) are defined as those who hold coins older than 155 days, whereas short-term holders retain coins shorter than the specified time.
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Long-term holders own 79.5% of all Bitcoin
Furthermore, Glassnode revealed that long-term holders currently own 79.5 percent of all BTC supply as of this week. Interesting, according to the report, the present level is comparable to that recorded in October 2020, right before the start of the 2020/2021 bull market.
The fact that long-term holders refuse to sell suggests that enormous accumulation is taking place, even if a bull run is not imminent. Besides that, the report also indicated that long-term holders presently own more coins than ever before, with 12.97 million BTCs as of this week.
As per the platform:
“Peaks in LTH [long term holder] owned supply typically correlate with late-stage bear markets which are historically followed by a supply squeeze and initiation of cyclical bull runs.”
BTC is currently trading at $46,742, up 1.56% in the last 24 hours and down 8.19% in the last week alone, according to CoinMarketCap.com, as long-term Bitcoin investors continue to accumulate and store coins in cold storage amidst substantial market volatility in 2021.
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