Despite the recent underwhelming performance across the board in the crypto marketplace, the supply of Bitcoin (BTC) held for over half a year is at an all-time high. According to Glassnode:
“…the supply of bitcoins that have been held for more than half a year has reached a record high, about 76.5%; the current supply of bitcoins that have been held for more than 10 years is about 12.6%, about 2.39 million BTC.”
Furthermore, the metric also suggested that the majority of investors who purchased the digital currency more than six months ago chose to ‘HODL’ rather than sell in a continuously developing unfavorable market.
In the eyes of some, this metric could signal a fundamental change in crypto investor behavior. In fact, this is especially more so for those who use BTC as a long-term investment instrument. The increase in HODLing between the 6-month to 10-year token supply was first observed back in November 2021. This was when BTC first began to reverse after reaching a record high exceeding $68K.
On Monday, the CEO of Three Arrow Capital, Zhu Su, gave his take on why investors choose to hold on to BTC rather than panic sell this cycle. According to Su:
“One reason onchain data is showing impressive holding behavior is [because] many ppl actually did buy $BTC in 2017/2018 only to sell for a loss after losing patience.”
He further stated that in a nutshell, people choose to remain composed this time around and instead add to their BTC stake, “regardless of what else is happening.”
As of press time, BTC is trading at $37,660.
Image Credits: Pixabay
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