TL;DR
- Most investors who bought Bitcoin between 2020 and 2022 are still holding, while more than 66% of those from 5-7 years ago sold in December.
- The share of speculative investors remains at 40%, far from the 70%-90% seen in previous cycles, indicating less market euphoria.
- Bitcoin (BTC) is trading at around $85,693 per unit, recording a 1.87% increase in the last 24 hours.
Bitcoin reached an all-time high of $109,000, but after a correction phase, it has fallen far from that peak. However, according to Glassnode data, most investors who bought between 2020 and 2022 are still holding, even though some acquired their BTC for as little as $3,600 during the 2020 lows.
On-chain analysis shows that these mid-term holders have only reduced their share of Bitcoin’s total supply by 3% since November 2024. This indicates that despite recent high volatility, they prefer to hold their positions rather than take profits. In contrast, more than 66% of buyers who entered the market five to seven years ago sold their holdings when BTC surpassed $100,000 in December 2024.
Short-Term Investors Hold 40% of the Wealth
Short-term investors have behaved differently. This group, historically known for more impulsive reactions to price changes, has engaged in mass selling episodes over the past six months. Despite this, their share of the total network wealth remains around 40%, far from the 70%-90% levels observed at previous market tops.
The current supply distribution suggests that the ongoing market cycle has not reached extreme speculation levels. In past cycles, euphoric phases coincided with a greater concentration of wealth in the hands of new investors—something that has yet to occur in this phase.
Bitcoin Is Trending Toward Accumulation, Not Distribution
Glassnode data indicates that the market structure continues to show a sustained accumulation pattern rather than a massive distribution trend. While some groups have taken profits, many investors continue holding their positions in anticipation of new highs.
According to the latest data from CoinMarketCap, Bitcoin (BTC) is trading at approximately $85,693 per unit. It has recorded a 1.87% increase in the last 24 hours, its market capitalization has grown at the same rate, and trading volume has surged by 14.22%, approaching $29 billion.
