Long-term Bitcoin holders are exhibiting a significant shift in behavior, reducing daily sell-offs and moving towards accumulation as the cryptocurrency’s price approaches its all-time highs. This trend signals a potentially bullish outlook for the market.
Data shows that daily sales by these long-term investors (holders of six months or more) have dipped substantially. Current daily sales volumes are resting below the $1 billion mark, down from previous levels exceeding $1 billion. This reduction suggests reduced distribution pressure from historically strong hands.
Supporting this shift is the Binary Coin Days Destroyed (CDD) metric, indicating that investors increasingly prefer holding onto their coins rather than executing immediate profit-taking. Spot market activity further reflects this sentiment, with a recent net inflow of $51 million representing a notable reversal from a significant $242 million sell-off seen earlier in August.
Market analysts suggest that if this accumulation pattern continues among long-term holders, Bitcoin could potentially breach its previous all-time high and enter a new phase of price discovery. Concurrently, projections for institutional Bitcoin holdings indicate continued growth, with treasury reserves forecasted to reach 1.86 million BTC.