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Long-Term Bitcoin HODLers Still Accumulating, Suggests Conviction
The active supply of bitcoin held for shorter periods of time keeps shrinking, according to Arcane Research.
Updated Mar 6, 2023, 3:16 p.m. Published Mar 16, 2021, 4:47 p.m.
Long-term bitcoin (BTC) holders have been adding to their positions over the past 10 months as supply held for shorter time periods has shrunk, based on an analysis of blockchain data by the cryptocurrency market-research firm Arcane.
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Positive long-term holder behavior could support the broader uptrend in bitcoin, whose prices have nearly doubled this year.
- "The bitcoin supply last being active in three to five years has grown by 1.5 million BTC since the middle of May 2020. This suggests that long-term holders still accumulate bitcoin, not seeking to sell at these current prices," according to Arcane Research.
- The three-to-five-year active supply metric started to decline at the end of previous bull market in 2017 as bitcoin's price accelerated towards $19,000.
- The three- to five-year active supply is approaching the highs of 2017.
- Since 2019, the growth of in the three- to five-year active supply indicates confidence among long-term holders.
- On the flip side, the decline in active supply of the six-month and two-year segments indicate short-term holders have realized profits during the past year's price rally, according to Arcane Research.
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Exchange Review - March 2025
CoinDesk Data's monthly Exchange Review captures the key developments within the cryptocurrency exchange market. The report includes analyses that relate to exchange volumes, crypto derivatives trading, market segmentation by fees, fiat trading, and more.
What to know:
Trading activity softened in March as market uncertainty grew amid escalating tariff tensions between the U.S. and global trading partners. Centralized exchanges recorded their lowest combined trading volume since October, declining 6.24% to $6.79tn. This marked the third consecutive monthly decline across both market segments, with spot trading volume falling 14.1% to $1.98tn and derivatives trading slipping 2.56% to $4.81tn.
- Trading Volumes Decline for Third Consecutive Month: Combined spot and derivatives trading volume on centralized exchanges fell by 6.24% to $6.79tn in March 2025, reaching the lowest level since October. Both spot and derivatives markets recorded their third consecutive monthly decline, falling 14.1% and 2.56% to $1.98tn and $4.81tn respectively.
- Institutional Crypto Trading Volume on CME Falls 23.5%: In March, total derivatives trading volume on the CME exchange fell by 23.5% to $175bn, the lowest monthly volume since October 2024. CME's market share among derivatives exchanges dropped from 4.63% to 3.64%, suggesting declining institutional interest amid current macroeconomic conditions.
- Bybit Spot Market Share Slides in March: Spot trading volume on Bybit fell by 52.1% to $81.1bn in March, coinciding with decreased trading activity following the hack of the exchange's cold wallets in February. Bybit's spot market share dropped from 7.35% to 4.10%, its lowest since July 2023.
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What to know:
- Ethena's USDe becomes fifth stablecoin to surpass $10 billion market cap in just 609 days, while Tether's dominance continues to slip.
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