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Bitcoin’s Supply Dynamics Shift: Short-Term Holders Gain Ground Amid Renewed On-Chain Activity

2025-08-05 22:13:23

Main Idea

Bitcoin's supply dynamics are shifting as short-term holders gain ground, with a 7.96% increase in their control, while long-term holder supply declines, reflecting changes in market confidence.

Key Points

1. Short-term holders (STH) now control 2.4 million BTC, a 7.96% increase.

2. Long-term holder (LTH) supply has dropped to 14.54 million BTC, marking a monthly low.

3. The average transaction size of reactivated BTC has increased significantly, from 162 BTC to 1,011 BTC, indicating large-scale movements.

4. In 2024, reactivated BTC from long-dormant wallets surged to 255k BTC, compared to 59k BTC in 2023.

5. Bitcoin's price has rallied above $120K despite increased supply-side activity, suggesting a mid-cycle structural reset.

Description

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