Bitcoin Hodlers Accumulate: Record Highs Seen in Inactive BTC Supply

Recent on-chain data indicates a compelling trend among Bitcoin holders as they increasingly accumulate the digital asset. This accumulation is underscored by the fact that exchange-held BTC has dwindled to its lowest levels in a year, while the percentage of inactive BTC supply has surged to all-time highs, marking a significant shift in the Bitcoin landscape.

Glassnode’s Bitcoin supply last active chart has been particularly illuminating in this regard. It reveals that BTC classified as inactive, signifying that it hasn’t been moved from its address for one, three, or five years, has reached unprecedented levels since July 2023. This accumulation is also mirrored by CoinMarketCap’s Bitcoin analytics, which tracks wallet addresses based on the duration of BTC holding. Approximately 69% of these addresses, equivalent to 36.8 million, have held onto their BTC for more than a year.

CryptoQuant’s data further validates this trend by showcasing a consistent decline in Bitcoin outflows from exchanges since July 2021. Currently, only slightly over 2 million BTC remains within the exchange wallets.

Delving into the specifics of exchange holdings, the CoinGlass Bitcoin on exchanges tracker provides insights into the circulating BTC held by major centralized exchanges. Binance, as the leading exchange, holds 543,281 BTC in its reserves. However, it’s noteworthy that Binance has witnessed a notable outflow of Bitcoin over the past 30 days, with approximately 21,645 BTC withdrawn during this period.

Coinbase Pro secures the second position on the list with a BTC balance of 435,530. Similar to Binance, this United States-based exchange has also seen 3,612 BTC being withdrawn from its platform over the last month.

Interestingly, OKX, among the top 10 exchanges, stands out as the only one experiencing a significant influx of Bitcoin in the past 30 days. The platform has seen an inflow of 4,630 BTC over the course of the last month.

Market observers and analysts have been vocal in their optimistic predictions regarding the potential future value of Bitcoin. Anticipation is building around the highly-awaited mining reward halving event set to occur in 2024, which is expected to further fuel Bitcoin’s prospects and its role as a long-term store of value.

For more news, find me on Twitter or subscribe to my YouTube channel.

What is your opinion on this issue? Leave me your comment below! I’m always interested in your opinion!

Leave a Reply

Your email address will not be published. Required fields are marked *

Recommended for you