Bitcoin Holders Refuse to Sell, Showing Strong Bullish Signals
Long-term cryptocurrency holders have shown great resilience in holding on to their investments. This group of investors has refused to sell their holdings, attributed to the recent gains in prices.
Recently, the Bitcoin Long Term Holder Supply Shock Ratio rose to record-high levels. It is the highest level the ratio has achieved over the years, according to on-chain metrics. Evaluating the historical performance of this ratio shows that a rise in this metric demonstrates that prices will skyrocket.
Long-Term Holder Supply Shock Rises
The recent metrics from Glassnode, a renowned analytics firm, have led analysts to detect a change in the behaviour of long-term holders. The behaviour of these holders regarding BTC has also changed.
The recent report from Glassnode shows further support to previous analysis showing that these long term investors have refused to sell their BTC holdings despite the volatility that continues to be witnessed across the market.
The Long-Term Holder Supply Shock is a metric used to assess the coins that have not been moved for a long time. These coins are regarded as unavailable in the market because they have not been transferred recently. The number of coins that long term investors have held has surged since mid-2021 and has reached record-high levels. Market analysts have stated that this is a bullish signal, as the metric has been used in the past to signal for bulls.
Will Bitcoin Reach $100K?
This year has been filled with numerous speculations regarding where the price of Bitcoin will reach. This last quarter of the year has especially been filled with multiple speculations, with the most conspicuous one being that the primary cryptocurrency with reach $100,000 by December 31 2021.
Some of the notable market analytics that have speculated strong bullish signals for BTC include the CEO of Chainalysis, Adam Back, Kevin Wadsworth, Tom Lee, Anthony Scaramucci, Michael Saylor, among others.
Surprisingly, Bitcoin started October with massive gains that saw the coin gain by over $3K in a few hours on October 1. Currently, Bitcoin is retesting the $50K highs as adoption continues to increase globally. The current bullish signals coincide with the rise of Bitcoin investment funds, with New Zealand recently launching its first Bitcoin exclusive funds.
Moreover, the volatility across the market has also attracted whale addresses that are buying during the dip with speculation that prices will rise. This could be attributed to Bitcoin’s resilience in staying above the $40K mark.
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