According to Cointelegraph: Over the past month, Bitcoin speculators have shed over 21,000 BTC in a move that mirrors the de-risking behavior seen during 2021, as per recent data from onchain analytics platform CryptoQuant. The sell-off, driven by short-term holders (STHs), has contributed to significant shifts in Bitcoin investor dynamics.

Short-Term Holders Exit Amid Market Volatility

The 30-day net position change data reveals that STHs — entities holding Bitcoin for 155 days or less — have reduced their holdings by 21,600 BTC as of Sept. 8. This marks one of the most substantial decreases since mid-2021 and reflects a growing desire to de-risk amid recent market volatility.

According to CryptoQuant, the sell-off trend among short-term investors is accompanied by risk reduction and market exits, further contributing to downward pressure on BTC prices in the short term.

Long-Term Holders Accumulate Despite Market Fluctuations

While STHs are offloading their BTC, long-term holders (LTHs), who have held Bitcoin for over 155 days, are accumulating at a rapid pace. Over the same 30-day period, LTHs have added approximately 22,000 BTC to their positions, offsetting the outflows from STHs.
 

This accumulation by LTHs suggests a growing confidence in Bitcoin’s future potential, positioning the market for possible price stabilization. CryptoQuant highlights that this shift in capital from "weak hands" to "strong hands" signals increased market stability, even as short-term selling creates temporary price volatility.

Market Outlook

As short-term holders continue to exit the market, long-term holders are stepping in to absorb the supply, creating a potential for price stabilization. This dynamic between the two cohorts could set the stage for a future rebound, particularly if LTHs maintain their accumulation spree.

With STHs now holding just under 18% of Bitcoin’s available supply, the market's long-term trajectory may depend on the actions of these more seasoned investors.