The Bitcoin HODL Wave Index provides insight into investor holding behavior. Each colored band on the chart represents the percentage of Bitcoins that were last moved during a given period. The cooler the color, the longer those Bitcoins have been held (yellow represents coins last moved 3 to 6 months ago).
Analyze current data:
1 day - 1 week: 1.98%
1 week - 1 month: 4.46%
1 month - 3 months: 7.06%
3 months - 6 months: 10.04%
This means that ~25% of the Bitcoin supply has moved in the past 6 months, and ~75% of the supply has not moved in over 6 months.
What does this mean?
A large amount of #BTC☀️ is lying idle, not trading, demonstrating the confidence of long-term investors.
As the price #BTC☀️ increases, the number of short-term holders also increases, as long-term investors decide to realize profits by selling coins, making the coins "young" again.
Trend:
The number of long-term holders increases with each cycle, with each new rally creating fewer selling investors.
With limited quantities of #bitcoin☀️ sold, the final price will tend to increase. 🚀