Long-term Bitcoin (BTC) holders are starting to trade their coins to new investors entering the market, according to on-chain analytics firm Glassnode.
In a new report, Glassnode states that Bitcoin's recent move to price discovery above all-time highs has tempted holders who had made much more money to distribute to a newer set of investors. ing.
According to Glassnode, the company uses a realized cap metric that aims to record the price of each coin and measure how many holders are making profits or losing money, but the metric is currently at an all-time high.
“As a result of this, spent coins are generally revalued from a lower cost base to a higher cost base. As these coins change hands, we use this to inject new demand and liquidity into the asset class. You can also think that it is.
This mechanism is elegantly expressed by a realized cap metric that tracks the cumulative USD liquidity “stored” in an asset class. The realization cap is now $540 billion at the new ATH value, increasing at an unprecedented rate of over $79 billion per month. ”
According to Glassnode, 44% of all BTC currently in circulation is held by new addresses that have held it for less than three months. According to the company's data, above the 44% level historically coincides with a medium-term bull market.
“When divided by coin age of less than 3 months, we have seen a sharp increase in recent months, with these new investors now owning approximately 44% of the total network assets. The increase in young coins is a direct result of long-term holders spending their coins at higher prices to meet the influx of demand.”
At the time of writing, BTC is trading at $65,004, 18% from its all-time high.
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