• Bitcoin HODLing reached a 12-month high indicating healthy accumulation.
• Upside potential is still limited amid low whale and institutional demand.
• Bitcoin [BTC] supply last active 2-3 years is now at a 12-month high.
The crypto market has been largely quiet recently and Bitcoin [BTC] has been unable to deliver any sizable performance. For those crypto enthusiasts who are wondering whether BTC will offer some redemption in 2023 or even this month, it is important to consider the amount of supply last active 2-3 years.
According to Glassnode Alerts, Bitcoin supply last active 2-3 years is now at a 12-month high. This means that the number of addresses hodling their BTC is increasing, indicating healthy accumulation. However, the amount hodled within this 1-year period still represents only 0.02% of the Bitcoin in supply, meaning the potential impact of this hodl is minimal and unlikely to drive up the price.
In order for Bitcoin bulls to show themselves strong, whale and institutional demand must increase. Unfortunately, an assessment of Bitcoin’s supply distribution reveals a mixed bag as far as whale addresses are concerned. While some addresses are contributing to buying pressure, others are contributing to the selling pressure, putting further downward pressure on the price.
In conclusion, while the amount of Bitcoin HODLing is rising, the potential impact is still limited. Whale and institutional demand must increase significantly in order to push up the price and offer some redemption to Bitcoin bulls.