Long-term investors (LTH) continue to accumulate bitcoin, which often occurs during times of market uncertainty. This is the conclusion reached by Glassnode analysts. According to on-chain analysis, LTH now holds 10.9 million BTC, which is more than 58% of the coins in circulation.
Source: glassnode.com
The formed fractal more and more resembles the market at the end of 2017 – beginning of 2018. Then LTH also stopped spending, initiating the accumulation of coins.
The last time hodlers accumulated Bitcoin was from May to September 2020. However, then they bought much less coins (+250,000 BTC per month). Moreover, today LTH owns 2.3 million BTC more (+ 8% of the circulating supply) than at the peak of 2017.
Source: glassnode.com
At the same time, Glassnode stressed that the current price level of bitcoin is held, for the most part, by the capital of large investors. The lack of an inflow of big money can lead to the formation of a local maximum in the market.
At the same time, the volume of transfers in US dollars also dropped significantly. So, in just the last two weeks, the drop was a whopping 65%.
For example, the volume of transfers fell from more than $ 43 billion per day to $ 15 billion. The only time a drop in the volume of transfers of a similar scale was noticed was in 2017. Then the volume of settlements in the Bitcoin blockchain collapsed by 80% in three months.
However, Glassnode note that the lack of a busy mempool is a vivid confirmation of the fact that uncertainty reigns in the market and it is still difficult to say in which direction the price will move.
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