2-Year High: BTC Supply Last Active in 2-3 Years Soars Amid Consolidation
• Bitcoin (BTC) supply last active in the past two to three years hit a 2-year high of 2.848 million BTC.
• The metric suggests that increasing BTC holders hold onto their tokens for an extended period, typically for investment purposes.
• Despite this bullish trend, bitcoin has been struggling to stay above the $29,000 price mark and fell to a 2-month low of $25,899 on May 12.
Bitcoin Supply Last Active Hits 2-Year High
The amount of bitcoin (BTC) supply last active in the past two to three years hit a 2-year high of 2.848 million BTC, according to data from Glassnode – a blockchain data intelligence provider. This indicates that increasing BTC holders are holding onto their tokens for an extended period – typically for investment purposes.
High Transaction Fees Trigger Network Congestion
Despite this bullish trend, bitcoin has been struggling to stay above the $29,000 price mark due to concerns about high transaction fees triggered by network congestion. As a result, BTC eventually dropped to a 2-month low of $25,899 on May 12 after registering 8 consecutive daily losing candles from May 6-13.
Long Term Holders Remain Bullish
Data on bitcoin’s long-term holders (LTHs) movement suggests a bullish trend as well; notably through the BTC Binary CDD indicator which reveals relatively low on-chain activity among long-term asset holders. This shows that LTHs are currently holding on to their tokens despite the current market conditions.
Consolidation Below $29K Price Mark Continues
Despite these encouraging metrics bitcoin continues its consolidation below the $29K price mark; indicating that it is yet uncertain whether bull or bear will take control of the market in upcoming days and weeks ahead.
Overall it can be said that while there are encouraging signs within recent developments in terms of BTC supply last active and long term holder sentiment; further movements must be monitored before determining where exactly the asset is headed next in terms of price movement and valuation growth over time