According to a survey by on-chain analytics provider Glassnode, 95% of Bitcoins that last changed hands were last moved less than three months ago on the blockchain.
March 15 from Glassnode The Week On-Chain The report found that only 5% of spent exits are more than 90 days old, indicating that the vast majority of BTCs in motion are “new currencies”.
Other data from Glassnode found that the addresses that had been controlling BTC for at least three years have significantly increased their holdings in the past six to 12 months, while short-term holders have made profits since the beginning of 2020.
Glassnode defines “Long Term Holders,” or LTH, as wallets that have held their Bitcoin for more than 155 days, while “Short Term Holders,” or STH, are described as wallets that move BTC on-chain in 155 days or receiving coins.
The report states that LTHs tend to have a greater knowledge of Bitcoin, accumulating BTC in bear markets and discharging some during bull markets. On the other hand, STHs are likely to be younger market participants or short-term speculators who often move value between exchanges, he added.
At current prices, Glassnode found that 10.85 million BTC, or 58% of the circulating supply of Bitcoin, is currently in profit according to the last time they were transferred to the chain, while 5.3 million BTC are currently in profit and held by STH portfolios.
Glassnode also noted that LTHs are, in fact, carrying more currencies than in previous market cycles.
The analytics provider also identified that the number of new active entities has recently reached new highs, indicating that many new retail investors have recently entered the space.
The number of new participants in the #Bitcoin network is unprecedented.
In the last few weeks, we have seen a great growth in new entities. This is a strong indication that new retail investors are entering the market.
Graphic: https://t.co/3w1LwtUFZV pic.twitter.com/MXNXwimnfZ
– glassnode (@glassnode) March 15, 2021