TL;DR
- Bitcoin’s Realized Capitalization surpassed $1 trillion for the first time, driven by fresh on-chain activity from institutions and retail hodlers.
- Long-term holders now control a record share of BTC supply, while exchange balances decline, signaling stronger multi-year conviction.
- Ethereum, Solana, and Avalanche on-chain metrics and DEX volumes are rising, suggesting growing altcoin usage and potential for a broad market rally.
Bitcoin’s on-chain health just reached a landmark milestone. The network’s Realized Capitalization breached the $1 trillion barrier for the first time in mid-July. This new high underscores the depth of conviction among hodlers, as long-term addresses accumulate and cold storage balances swell. Meanwhile, a wave of momentum is rippling through the broader market, with major altcoins posting fresh on-chain strength.
https://twitter.com/glassnode/status/1948000381864431802
Bitcoin’s Realized Cap Hits New Heights
When Bitcoin’s Realized Cap eclipsed $1 trillion, it marked more than a round number; it reflected more than $1 trillion of real capital “saved” on the ledger. Unlike nominal market cap, this metric filters out dormant coins, focusing instead on those last moved at higher price levels. In July, over 25 percent of that growth came from new on-chain activity, as institutional inflows and retail accumulation combined to push this foundational metric to an all-time high.
Long-Term Holders Dig In
Behind the $1 trillion figure lies a clear trend: coins have been moving less and maturing at or above cost basis. On-chain data shows that wallets holding Bitcoin for over one year now account for a record share of total supply.
Exchange-held balances have simultaneously fallen, confirming that more investors are choosing to set aside their BTC for multi-year horizons rather than trade or spend. This shift toward longer holding cycles lends credence to the idea that the current cycle rests on a stronger base than past bull runs.
Altcoins Ride the Wave
While Bitcoin consolidates just under $120,000, Ethereum and select Layer 1 tokens are flashing green signals on-chain. Ethereum’s daily active addresses climbed above 900,000 in mid-July while DEXs’ volumes for ETH and stablecoins collectively surged 30%. Solana and Avalanche also posted double-digit gains in on-chain transfers, hinting at renewed developer interest and DApp usage.
Looking Ahead: Healthy Consolidation or Springboard?
With realized cap growth dovetailing into a period of price consolidation, Bitcoin appears to be digesting recent gains. Should on-chain strength persist, the network’s fortified capital base could underpin another leg higher. Simultaneously, rising altcoin activity suggests that capital rotation is already underway.
