Bitcoin’s long-term holder supply approaches record high, breaking multi-year downtrend
Long-term holder supply has surged by more than 2 million coins to 16.3 million BTC during the current bear market.
What to know:
- Long-term holder supply has increased by more than 2 million BTC during the current bear market, including a 200,000 BTC rise in the past month alone.
- This is typical behavior — long-term holders tends to buy into price weakness and sell into price strength.
The only other time LTH supply was higher was in January 2024, when it reached 16.4 million BTC ahead of the U.S. spot bitcoin ETF launch, one of the most anticipated events in bitcoin’s history. In the months that followed, nearly 2 million BTC was distributed by this cohort as bitcoin rallied.
Typically, during periods of price weakness or full bear market conditions, long-term holders, often viewed as the smarter money, begin increasing exposure after divesting during the previous bull market. During both the 2015 and 2019 bear markets, LTH supply increased as investors accumulated during price weakness.
However, since the ETF launch in January 2024, LTH supply has largely fluctuated between 14 million and 16 million BTC. Now, it appears to have broken out of a 2.5-year downtrend, suggesting long-term holders are once again accumulating rather than distributing during bitcoin’s depressed price levels.
