Bitcoin (BTC) Illiquid Supply Increases, BTC Holders Not Selling Despite Corrections

On-chain analysis firm glassnodeBitcoin supply has not been taken out of wallets since the beginning of this year despite price volatility, rising inflation and geopolitical tensions. While Bitcoin’s appeal is growing among institutional and retail investors, no one seems to want to sell their BTC.

Sharing its data via tweet, Glassnode said the “Bitcoin Liquid Supply Shock Ratio (ISSR)”, which represents BTCs held in wallets with little or no spending history, significantly this week. rose.

First developed by on-chain analyst Will Clemente, the Bitcoin Idle Supply Shock Rate continues to rise significantly since the beginning of the year. This week, this rate of increase has also increased considerably. illiquid Bitcoin (BTC) represents coins held in wallets with little or no spending history. It now appears to be 3.2 times larger than the sum of the Liquid and Highly Liquid source.

This on-chain data is actually quite important because it represents an important piece of data that long-term BTC holders are patiently waiting for. Even Elon Musk has stated that he does not plan to sell Bitcoin, Ethereum and Doge holdings despite rising inflation. Musk’s tweet pushed crypto prices up a bit on Monday, with Bitcoin rising nearly 2% to over $39,000.

Also, according to historical price action, the downtrend in the previous two events in 2016 and 2020 followed a major reversal in Bitcoin price action.

With this, European union Keep in mind that other factors must also be taken into account, as ministers of the MiCA bill are expected to vote to pass two versions of the MiCA bill, one with a POW ban and the other without it. The high energy cost and carbon footprint of proof-of-work tokens continue to pose a problem for the EU parliament.

Meanwhile, over the weekend, comparisons of top assets by market cap show signs that traders of Bitcoin, XRP and Binance Coin are expecting price increases. However, according to a tweet shared by Santiment, a financial market data and content platform, trader sentiment appears to be negative on Polkadot at the moment.

Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.


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