The Spent Output Age Bands (SOAB) indicator provides insights into Bitcoin consumption (selling) by investors categorized by their holding periods. During the rally in November and December, long-term holders (LTHs) realized significant potential profits, suggesting that some sold portions of their holdings to lock in gains.
The chart highlights that holders with a 6–12 month holding period, represented by the orange band, were the most active in selling Bitcoin. These investors primarily bought Bitcoin around the time of the spot ETF launch in early 2024. The selling activity from this group likely exerted downward pressure on Bitcoin’s price. However, strong demand has maintained Bitcoin’s value in the $90K–$100K range.
Encouragingly, holders who have kept Bitcoin for over a year sold relatively little during this period. Additionally, the 'Binary CDD' indicator at the bottom of the chart shows a decline in the selling of older Bitcoin in December compared to November. This suggests that many long-term holders may anticipate even higher prices before selling.
Written by Yonsei_dent
