📊 Bitcoin Realized Cap and UTXO Age Bands Analysis 🟠🟢🟣
This chart reveals Bitcoin’s price cycles to UTXO age bands. Key insights:
1️⃣ Market Peaks: A rise in short-term UTXOs (1d ~ 1w, orange) often signals market tops as short-term holders cash out at high prices.
2️⃣ Accumulation Phase: An increase in long-term UTXOs (1m ~ 3m, purple) indicates accumulation, where investors hold their coins, anticipating future gains.
3️⃣ Current Cycle: We see signs of accumulation, but short-term activity also rises.
🔍 Is another bull run coming? Monitoring these trends can give insight into potential future market movements.
Definition: The Realized Cap - UTXO Age Bands chart displays the distribution of Bitcoin’s realized capitalization across various age bands. Each colored section represents the proportion of UTXOs that were last moved within a specific time period. Realized Cap is determined by valuing each UTXO based on the price when it was last transacted. This metric provides a clear summary of the market share held by both long-term and short-term holders, helping to understand their behavior over time.
Written by IT Tech
