Bitcoin Supply Shock Quietly Brewing? Long-Term Holder Selling Dries Up 📉➡️😌
New on-chain data from Glassnode is telling a compelling story.
After months of persistent distribution, the selling pressure from Bitcoin’s long-term holders (LTHs) has decelerated significantly.
Key takeaways from the data:
✅ LTH Selling Speed has Slowed – The pace at which veteran investors are moving coins has decreased.
✅ Net Outflows Retreat from Extremes – The intense exit momentum has cooled.
✅ Market is Absorbing Supply – This suggests available sell-side liquidity from LTHs is being met with demand.
✅ Peak Supply Pressure May Be Digested – A large portion of the overhead selling pressure appears to have been absorbed.
What This Means:
Long-term holders are often considered the “smart money” or the bedrock of Bitcoin’s supply. When they slow their spending, it typically indicates:
· A decrease in urgent sell-side pressure.
· Potential maturation of a capitulation or distribution phase.
· That weaker hands have likely already sold, and remaining holders are in less distressed positions.
This doesn’t automatically guarantee a price surge, but it does point toward a potential supply shock scenario if demand picks up. With fewer coins being distributed from the most resolute hands, the market structure may be firming up.
The Big Question:
Is this the calm before the next leg? With major supply pressure potentially digested, is the stage being set for the next cycle?
DYOR No Financial advice!
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