Defining UTXO Realized Price Age Distribution: The UTXO Realized Price Age Distribution is a metric that segments the UTXO set of Bitcoin transactions into different age bands, each representing a specific period since the UTXOs were last spent. This metric provides a snapshot of the market sentiment by revealing how long holders have held onto their Bitcoin before transacting. It calculates the realized price for each UTXO based on the price of Bitcoin at the time it was last moved. Analyzing UTXO Age Bands: Upon analyzing the UTXO Realized Price Age Distribution, a noteworthy observation emerges. Among the different age groups, UTXOs with ages between 12 to 36 months stand out as the only group currently in a loss. This suggests that those who acquired Bitcoin within this time frame have yet to experience a price increase significant enough to cover their initial investment. Exchange Inflow - Spent Output Age Bands: To further investigate the market dynamics, we can consider the Exchange Inflow - Spent Output Age Bands metric. This metric tracks the inflow of Bitcoin onto exchanges across various age bands of spent outputs. It helps us understand whether holders from different age groups are actively moving their assets to exchanges, potentially indicating an intention to sell and realize profits. Observations: Upon analyzing the Exchange Inflow - Spent Output Age Bands, an interesting trend emerges. There has been no significant spike in Bitcoin inflow onto exchanges for the age groups that are currently in profit. This lack of inflow suggests that holders from these groups are not yet under pressure to sell and realize profits. This can be interpreted as an indication of market stability and a lack of urgency among profitable holders to offload their holdings.
Written by Tarekonchain
