This week brings a key signal from LTH that shouldn't be overlooked.
The chart shows the monthly net change sum in the supply categorized as LTH.
But my opinion is that this term can be misleading, it’s not the address that matters, but rather the age of the coins held. In reality, “Long-Term Supply” would be a more accurate label.
Supply is considered long-term held only if the coins have remained unmoved for more than 6 months. In other words, a coin must remain untouched for half a year before being classified as LTH. —
That being said, the current surge in this long-term supply, while BTC trades above $100 000, clearly shows a strong will to hold.
And for good reason as coins that are now entering the LTH category were all purchased in the $95 000 – $107 000 price range.
In Bitcoin’s entire history, such a strong commitment to holding has only occurred 6 times. This makes it a powerful signal that should absolutely be factored into any strategy.
Written by Darkfost
