Long term Bitcoin hodlers haven’t stopped accumulating during this time. A recent report suggests that they have accumulated nearly 460,078 coins in the last month, making the total supply of hodled coins hit an all-time high. As of now, more than 50% of the supply of Bitcoin is held by long term investors that just stack their satoshi’s with no intention to sell. The previous all-time high was 12,656,092 coins, and now, it has touched 12,711,385 coins. The increase in the number of coins hodled also suggests that we are still in a bull market.
What does this mean for Bitcoin?
When an asset starts to fall in value, there is always a particular price where it bottoms out and doesn’t go lower. What do you think happens at that price? Heavy buying. In the case of Bitcoin, it is seen that in every bull run, the price bottoms out where the long term hodlers start to accumulate. This is why prices start to increase again, and also, the total number of coins held by long term investors increase in number.
This chart is a very good way to see and understand how the number of long term hodlers has increased in the past 10 years. And we can expect this to keep rising unless investors understand that the whale’s don’t want them to hold, and they stop buying high and selling low.
Now, if you are wondering about the effect of these metrics on the price of Bitcoin? We are bullish. The last barrier for BTC to continue this bull run is $50,500, and once we cross that, we are good to go to a new ATH. But do note that this is just an assumption, and we might also move to a bear market so invest accordingly.
Why is it important to hold?
Bitcoin works in a 3-4 years cycle making new tops every time due to halving. This is why even if you buy at the top of a bull-run and hold it for the next 4 years then you will make huge profits at least according to old data. It is also important to note that as investors it is important to deploy DCA (dollar-cost averaging) which makes sure you make the most profits.
What are your thoughts on the Long term Bitcoin hodlers hitting an all-time high? And are you a trader or a hodler? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.