“Diamond Hands” in Bitcoin Are Not Selling! Will BTC’s Rise Continue?

  • Glassnode data indicates that the percentage of Bitcoin supply held by long-term holders, known as “HODLers,” is at or near an all-time high, approximately around 76%.
  • According to Glassnode, a blockchain analytics platform, there’s a lower probability of these holders spending these coins after holding them for at least five months.
  • Despite the upward trend and bullish momentum, when looking at the candlestick pattern from a top-down perspective, the path of least resistance appears to be bearish.

Bitcoin initiating a significant rally from $25,000 has revived hopes of a new bull run, with major investors remaining committed to BTC!

Strong HODLers in Bitcoin Continue to Hold Strong

Bitcoin-BTC

The latest Glassnode data from September 18th shows that the percentage of Bitcoin supply held by long-term holders is at or near an all-time high, approximately around 76%. This expansion coincides with a period where the broader crypto market is recovering after experiencing declines in recent weeks.

An increase in the amount of coins held by long-term holders can be seen as a positive change in sentiment. Long-term holders are different from speculators who predict and gamble on price fluctuations to gain financial profits; instead, they are individuals or institutions that hold their coins for at least 155 days.

According to Glassnode, a blockchain analytics platform, there is a lower probability of these holders spending these coins after holding them for at least five months. These long-term holders, often referred to as “diamond hands,” can support crypto prices by taking coins out of circulation.

Bitcoin fundamentally has a deflationary structure, with only 21 million coins ever to be in circulation. However, through mining, coins are continuously added to circulation until all 21 million coins are expected to be mined by the year 2140. Currently, 19.49 million coins are in circulation, with a significant portion believed to be lost or unrecoverable.

Satoshi Nakamoto, the United States government, and publicly traded companies like MicroStrategy hold another portion. According to public data, MicroStrategy is the largest publicly traded company holding approximately 152,800 BTC, accounting for about 15% of the estimated total controlled by Bitcoin’s founder, Satoshi Nakamoto.

bitcoin-hodlers

Bitcoin Rises by 10%, But Bulls Remain Cautious

At the time of writing, Bitcoin has risen by approximately 10% from its September lows and is steadily recovering from the support level around $25,200. However, despite the upward trend and bullish momentum, when looking at the candlestick pattern from a top-down perspective, the path of least resistance appears to be bearish.

From a technical analysis standpoint, Bitcoin prices still appear to be influenced by the bearish candle from August 17th. A prominent bearish candlestick with high trading volume and a wide range pushed prices below $28,000.

Overall, Bitcoin prices remain within the trading range seen in June-July 2023, and there’s a chance of a bounce from important Fibonacci retracement levels. The mid-term buying target is currently $31,800 or the highest level in July 2023.

However, how prices will react in the coming days or weeks remains uncertain. As prices rise, BTC HODLers may aim to ride the uptrend before realizing profits. Meanwhile, if prices drop below spot levels, investor sensitivity may decrease.

Don't forget to enable notifications for our Twitter account and Telegram channel to stay informed about the latest cryptocurrency news.

BREAKING NEWS

F2Pool Co-Founder Wang Chun Promises Dogecoin-Backed Mars Mission ‘Marsrise’ if DOGE Hits $1

In a recent update shared on the X Platform,...

Tether Treasury Mints 2 Billion USDT on Ethereum in Coordinated On-Chain Exchange Move

On November 12th, COINOTAG News reported significant movement within...

Bitcoin Soars 11% to $89,500 as Trading Volume Hits Record $38 Billion

On November 12th, COINOTAG News reported a significant price...

Aave Launches Family Wallet: A User-Friendly Crypto Solution with Advanced Security and DeFi Integration

In a significant advancement for the cryptocurrency sector, Aave...

US Spot Bitcoin ETF Surges to $84 Billion, Poised to Surpass Gold in Just One Year

According to COINOTAG News on November 12, Bloomberg's senior...
spot_imgspot_imgspot_img

Related Articles

spot_imgspot_imgspot_imgspot_img

Popular Categories

spot_imgspot_imgspot_img