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95% of Bitcoin Trade Shows New Coins; Only 5% Long-Term Investors are Trading

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Mar 18, 2021

On March 15, 2021, Bitcoin (BTC) showed the entire world again what it was capable of achieving. The Bitcoin (BTC) again ended up hitting an all-time high of $61k per BTC before experiencing a correction. As Bitcoin (BTC) hit the $61k per BTC price, its price correction brought it down to $55k per BTC.

Since then, the price of Bitcoin (BTC) has been revolving around the $55k per BTC mark for the last 48-hours. Although the liquidation experienced after Bitcoin (BTC) hit an all-time high broke all previous records, still, many shocking facts have surfaced.

According to Glassnodes, around 95% of the Bitcoin (BTC) that are currently being traded on the exchanges are new coins. On the other hand, only 5% of the Bitcoin (BTC) being traded on the exchanges are old ones that are older than three months.

This goes on to show that majority of the investors on the cryptocurrency exchange are holding onto their Bitcoin (BTC). Only 5% of the total long-term investors seem to be trading their Bitcoin (BTC) in order to make some profits.

This information was shared by Glassnodes on Monday, March 15, 2021. Glassnodes is one of the most prominent and highly reliable firms that collects cryptocurrency-related data from blockchains.

Furthermore, Glassnodes has also provided more information around the addresses that have been holding BTC for more than three years. The firm has reported that the addresses holding BTC for more than 3 years don’t seem to have made any movements with the BTC.

Instead, these hodlers have only accumulated more Bitcoin (BTC) in order to gain from them in the long-term. The firm has revealed that these hodlers have accumulated a significantly higher number of Bitcoin (BTC) in the past 6 to 12 months.

On the other hand, the short-term investors of Bitcoin (BTC) have been profiting from Bitcoin (BTC) trades since the beginning of 2020.

According to Glassnodes, the investors that have held their Bitcoin (BTC) into their wallets for more than 155 days are “Long Term Holders – LTH”. On the other hand, the investors that have held Bitcoin (BTC) into their wallets for less than 155 days are “Short Term Holders – STH”. The short-term holders can be described as the investors who go in for short-term profits and keep trading their BTC to make a loop.

As per Glassnodes, the Long Term Holders (LTH) are the ones that have more knowledge and information around Bitcoin (BTC). They know exactly what they are going in for and have a close eye on the market sentiments and make their move once things become very favorable.

On the other hand, Short Term Holders (STH) are the ones who go for short-term buyouts for BTC and sell them to make easy profits. The short-term holders are the very reason that the price of Bitcoin (BTC) continues to fluctuate.

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