Key Takeaways
- Long-term Bitcoin holders (155+ days) control a record 75% of circulating supply (14.52M BTC).
- Balance increased by 62,882 BTC ($1.83B) this month, surpassing previous peaks.
- Illiquid entities continue accumulating, with 90,000 BTC added this month.
- Data suggests weakening sell-side pressure and dominant HODLing behavior.
Breakdown of Holder Dynamics
Glassnode's latest data reveals three critical trends in Bitcoin ownership:
Supply Concentration
Mature investors now hold 14.52M BTC—the highest level ever recorded. This represents:- 75% of circulating supply (19.437M BTC)
- 74% of total eventual supply (21M BTC cap)
Monthly Accumulation
Metric Change USD Value LTH Balance +62,882 BTC $1.83B Illiquid Entities +90,000 BTC ~$2.62B Market Implications
- Reduced liquid supply could amplify price volatility during demand surges
- Demonstrates conviction among seasoned investors despite market conditions
Why This Matters for Investors
The growing illiquidity of Bitcoin suggests:
👉 How shrinking supply impacts future price movements
- Fewer coins available for immediate trading
- Potential supply shock if institutional demand accelerates
- Increased stability from reduced speculative trading
Frequently Asked Questions
Q: How is "long-term holder" defined?
A: Addresses holding BTC for 155+ days—a threshold Glassnode identifies as signaling reduced spending likelihood.
Q: What does this mean for short-term traders?
A: With 75% supply locked up, price swings may intensify when liquidity is constrained during high-volume periods.
Q: Could this trend reverse?
A: Yes—previous cycles show LTH supply decreases during bull markets as profits are taken, but current data suggests continued accumulation.
Strategic Insights
The data corroborates Bitcoin's evolution toward a store-of-value asset, with most holders treating it as:
- A multi-year investment
- Portfolio insurance against inflation
- A hedge against traditional finance risks
👉 Comparing Bitcoin's holder distribution to gold and equities
Note: All dollar values calculated using July 2023 average BTC price of $29,100.