Data from Glassnode suggests that Bitcoin (BTC) is in an accumulation pattern, with its available supply reaching a new historical low. According to the report, Bitcoin’s illiquid supply and long-term holders are increasing.
As its supply tightens, available BTC is being purchased by smaller, long-term holding entities.
Bitcoin accumulation among a majority of investor cohorts and the bullish conviction of long-term holders have resulted in investors gobbling up “92% of the newly mined supply,” according to the Glassnode analysis.
“If we isolate only entities on the smaller end of the scale, such as Shrimps (
Entity Bitcoin balance changes versus issuance. Source: Glassnode
On the backs of smaller entities accumulating Bitcoin’s minted supply, long-term holders have reached new highs versus short-term holders, something not seen since July 2023. In addition to the solid long-term holder ratio, the short-term holder supply diminished to all-time lows.
Long-term versus short-term Bitcoin holder ratio. Source: Glassnode
The combined effect is creating a tightening of the BTC supply available for purchase, which is possibly helping to keep Bitcoin’s price above $34,000 and providing strong support above $30,000.
