In the Bitcoin market, long-term investors (LTH) have increased the amount of BTC in their hands to peak levels again. It is known that people in this group keep their savings for at least 155 days without disposing of them. Currently, the total amount of BTC held by LTHs has reached 16.3 million.
Long-term investor supply is at record level
The total supply of BTCs held by long-term investors has increased significantly since the beginning of the year. Since Bitcoin hit its historical high of $126,000 in October 2023, the increase in LTH supply has been approximately 2.2 million BTC. In the last month alone, this amount has increased by approximately 200,000 BTC.
Prior to the launch of US spot Bitcoin ETFs in January 2024, LTH supply briefly reached 16.4 million BTC. During the rise at that time, this investor group sold almost 2 million BTC and contributed to the circulation in the market.
Mini dictionary: Long-Term Holder (LTH) describes investors who hold their holdings in Bitcoin for at least 155 days and act with a longer horizon rather than short-term price fluctuations. This group is often seen as the “smart money” owners of the market.
Impact on market trends
Generally, in periods when prices are weak or bear market conditions prevail, long-term investors tend to increase their shares in the market with new savings. Similarly, in the bear markets of 2015 and 2019, the total supply of long-term investors increased. The weakness in prices has increased the demand of this segment to accumulate BTC in the past.
Many analysts share the view that long-term investors giving up their selling movements in the market and turning to accumulation again indicates that the Bitcoin price may be close to the bottom.
Has the 2.5-year downward trend ended?
Since the ETF launch in 2024, the amount of BTC held by long-term investors has generally varied between 14 and 16 million. It was noted that with the recent rise above this level, the downward supply trend, which lasted approximately 2.5 years, ended. The recent movements of long-term investors show that they are once again returning to the policy of accumulating Bitcoin at low price levels.
| Month | LTH Supply (Million BTC) | Featured Event |
|---|---|---|
| October 2023 | 14,12 | Bitcoin hits $126,000 record |
| January 2024 | 16.40 | Spot ETF launch |
| June 2024 | 16.30 | LTH accumulation increases |
Long-term investors are saving again
The data reveals that long-term investors are making new purchases instead of selling, despite the weakness in the Bitcoin price. This behavior was considered an important indicator pointing to the bottom of the market in previous cycles.
As the increase in LTH supply continues, the amount of liquid Bitcoin in the market decreases. This stands out as an element that may put positive pressure on the price in the future.
