- In three months, the percentage of Bitcoin’s supply that was active last at least one year ago dropped from 70% to 65.8%.
- This decline is probably the result of some investors taking profits in an up-and-coming market.
According to Glassnode, the blockchain analytics company that tracks data on bitcoin transactions, the percentage of bitcoin circulating stock which last moved onto-chain over a year ago is at its lowest level since October 2022.
The circulating supply, which is 19.67 millions BTC and 12,95 million BTC combined, has remained the same for more than a year. This represents the lowest percentage of BTC since October 20,22. This metric reached a peak of 70% in January, when nearly 12 spot ETFs were launched in the U.S.
The percentage of circulating stock that hasn’t moved for at least 2 years dropped to 54.4% from 57.4% by late December.
This decline is likely due to investors taking profits after holding coins for over a year. It marks a change from previous trends. Holding strategy through to 2023.
It is likely that the urge to sell stems from the massive price increase of 148% since April, last year, and the 50% rise since ETFs started trading in the U.S. It’s hard to determine the precise percentage of bitcoin that has left the supply inactive.
MacroMicro’s data-tracking website says that a decline in BTC inactivity is “Leading indicator “The end of bullrun”
The data shows that historically, bull markets peak when the supply of non-active products reaches its lowest point and starts to rise.
Oliver Knight is the editor.