The latest index is showing seasoned Bitcoin investors barely any aggressive spending action despite BTC hitting an all-time high this year at $69,000.
According to 90-day Coin Destruction Days (CDD) data from Glassnode, the percentage of Bitcoin spent by ex-soldiers remains near a record low, confirming the confidence of investors and holders. Holding Bitcoin for many years, CDD is showing extremely “calm”.
CDD refers to the time each BTC has been inactive before the start of the move. This provides an alternative to simple volume measurements to identify market trends. As a result, older Bitcoins are “more important” than younger BTC with an active history.
Ever since the sale of old trades spiked after BTC surpassed 2017’s all-time high of $20,000 last year, longtime investors have remained firm. Even Bitcoin’s continuation of hitting $69,000 this year failed to break the trend, leading to selling pressure that still seems to come from new entrants to the market.
Another histogram is HODL Waves which also confirms the above signal. The amount of Bitcoin purchased three to six months ago is currently experiencing the largest drop in total supply. As of now, 90% of the BTC supply has been mined. This implies that sellers bought back their BTC between June and September around the time BTC dropped to as low as $30,000 prior to the mining crackdown from China.
However, the distinction between long-term investors and young investors is being shown quite clearly at the present time. Even market participants at $20,000 per BTC are doubling down, as BTC looks set to end 2021 around the $45,000 – $50,000 range.
Meanwhile, UTXO Management senior analyst Dylan LeClair noted that, overall, miners are “aggressively” adding to their positions during Bitcoin’s accumulation phase, in addition to the source event. The illiquid BTC supply set an ATH earlier this week.
#Bitcoin is once again in accumulation mode. pic.twitter.com/BezC2AUewO
— Dylan LeClair 🟠 (@DylanLeClair_) December 23, 2021
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