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Breaking News: Tether Announces Strate🥃gic Partnership To Combat Stablecoin Mis🍸use

Bitcoin Long-Term Holders Selling, But Price Holds – New Buyers Stepping In?

Ash Tiwari
by Ash Tiwari
1 week ago
·
Posted in Bitcoin News
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Bitcoin (BTC) has remained range-bound between $100,000 and $110,000 since May, offering few ⭕clues about its next directional move. While this sideways price action may be frustrating traders, on-chain indicators suggest there may be more happening beneath the surface.

Long-Term Holders Are Selling Bitcoin

According to a recent CryptoQuant Quicktake post by contributor Yonsei_dent, long-term holders (LTHs) – those who have held BTC for more than six months – have been consistently selling their coins. Two key indicators, the Spent Output Age Bands (SOAB) and Binary Coin Days Destroyed (CDD), support this observation.

bitcoin
Source:

For the uninitiated, SOAB is an on-chain metric that tracks the age of Bitcoin being spent, categorizing coins based on how long they were held before being mಌoved. It helps identify whether short-term or long-term holders are currently active, revealing shifts in investor behavior and broader market trends.

Related Reading: Bitcoin Bubble Chart Signals Cooli💫ng Without Overheating – Breakout Comi𒀰ng Soon?

Similarly, Binary CDD is a simplified on-chain metric that shows whether LTHs spent any coins on a given day – represented as a binary “yes” (1) or “no” (0). Unlike traditional CDD, it focuses solely on the presence or absence of LTH activity, making it easier to spot trend changes in long-term holder behavior.

What’s notable, according to Yonsei_dent, is that despite this steady selling by LTHs, BTC’s price has not broken down. The fact that the market is absorbing this selling pressure suggests that new demand – possibly from fresh buyers – is stepping in. The analyst added:

For a bullish trend to sustain, this kind of healthy rotation (from strong hands to new buyers) is essential. In that context, LTH spending isn’t a warning sign – it’s actually a constructive signal.

In addition, there’s rising activity from holders who acquired BTC one to three years ago. This likely reflects profit-taking by those who bought during previous cycle l꧅ows.

That said, such selling does not necessarily indicate weakness. On the contrary, it suggests a transition in market leadership from older to newer holders – a dynamic typically seen in the mid-to-late stages of a bull market.

In conclusion, Yonsei_dent believes that the crypto market is likely in a phase of “quiet redistribution,” where LTH selling is being matched by sufficient buy-side demand – potentially setting the stage for the next strong move.

Not All Analysts Are Optimistic

Despite the constructive signals from SOAB and Binary CDD, not all analysts are convinced of a near-term breakout. For example, the Bitcoin MVRV ratio is showing signs of bull market fatigue.

Related Reading: Bitcoin Bubble Chart Signals Cooling Without Ov🀅erheating – Breakout Coming Soon?

Likewise, even after the recent price rebound, Bitcoin network activity remains significantly muted – raising concerns about a broader lack of user engagement. At press time, BTC trades at $107,781, down 0.1% over the past 24 hours.

bitcoin
Bitcoin trades at $107,781 on the daily chart | Source:
Featured Image from Unsplash.com, charts from CryptoQuant and TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.

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Ash Tiwari

Ash Tiwari

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Ash is a seasoned freelance editor and writer with extensive experience in the blockchain and cryptocurrency industry. Over the course of his career, he has contributed to major publications, playing a key role in shaping informative, timely content related to decentralized finance (DeFi), cryptocurrency trends, and blockchain innovation. His ability to break down complex topics has allowed both seasoned professionals and newcomers to the industry to benefit from his work. Beyond these specific roles, Ash's writing expertise spans a wide array of content, including news updates, long-form analysis, and thought leadership pieces. He has helped multiple platforms maintain high editorial standards, ensuring that articles not only inform but also engage readers through clarity and in-depth research. His work reflects a deep understanding of the rapidly evolving blockchain ecosystem, making him a valuable contributor in a field where staying current is essential. In addition to his writing work, Ash has developed a strong skill set in managing content teams. He has led diverse groups of writers and researchers, overseeing the editorial process from topic selection, approval, editing, to final publication. His leadership ensured that content production was timely, accurate, and aligned with the strategic goals of the platforms he worked with. This has not only strengthened his expertise in content strategy but also honed his project management and team coordination skills. Ash's ability to combine technical expertise with editorial oversight is further bolstered by his knowledge of blockchain analysis tools such as Etherscan, Dune Analytics, and Santiment. These tools have provided him with the data necessary to create well-researched, insightful articles that offer deeper market perspectives. Whether it’s tracking the movement of digital assets or analyzing blockchain transactions, his analytical approach adds value to the content he produces, ensuring readers receive accurate and actionable information. In the realm of content creation, Ash is not limited to just cryptocurrency markets. He has demonstrated versatility in covering other emerging technologies, market trends, and digital transformation across various industries. His in-depth research, coupled with a sharp editorial eye, has made him a sought-after professional in the freelance writing community. From developing editorial calendars to managing content delivery schedules, he has honed a meticulous approach to project management that ensures timely, high-quality work delivery. Throughout his freelance career, Ash has consistently focused on improving audience engagement through well-researched, insightful, and relevant content. His ability to adapt to the evolving needs of clients, whether it's enhancing the visibility of digital platforms or producing thought-provoking pieces for a wide range of audiences, sets him apart as a dynamic force in the field of digital content creation. His contributions have helped to shape a well-rounded portfolio that showcases his versatility, technical expertise, and dedication to elevating the standards of journalism in blockchain and related sectors.
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