According to a recent analysis by Fidelity Digital Assets, Bitcoin held by long-term investors has surpassed the cryptocurrency’s daily new supply, signalling increased scarcity and reinforcing its deflationary properties.
Fidelity highlights a historic development where Bitcoin held for over ten years now consistently outpaces the daily issuance of 450 BTC resulting from the 2024 halving. Data indicated that approximately 566 BTC are moving into these long-term holdings daily.
The asset manager emphasized this milestone as a key indicator of Bitcoin’s growing scarcity and solidifying status as a deflationary asset. This shift underscores the coin’s fundamental supply constraints.
Institutional investors interpret this trend as positive validation of Bitcoin’s core store-of-value proposition. Fidelity suggests this increasing accumulation dynamic is likely to encourage further strategic allocations from professional investors seeking exposure to the asset’s scarcity narrative.
Regulatory authorities have maintained their current stance regarding Bitcoin, allowing its market dynamics to evolve without intervention. This stable regulatory environment provides a backdrop for these accumulation patterns to continue.
Historical halving cycles offer context, suggesting that phases of reduced issuance coupled with increased long-term holding have often preceded periods of price consolidation followed by significant upward momentum.