Bitcoin Supply Last Active in 2-3 Years Hits 2-Year High

• According to Glassnode, the amount of bitcoin (BTC) supply last active in the past two to three years recently hit a 2-year high.
• The metric currently stands at 2.848 million BTC, representing 14.7% of bitcoin’s circulating supply.
• This indicates that increasing BTC holders are holding onto their tokens for an extended period, typically for investment purposes.

Long-Term Holders Movements Suggest Bullish Trend

Data on bitcoin’s long-term holders (LTHs) movement suggests a bullish trend, with the BTC Binary CDD indicator showing relatively low on-chain activity among long-term asset holders. This shows that LTHs are currently holding on to their tokens rather than trading them regularly.

Bitcoin Consolidates Below $29,000

Despite this bullish trend, bitcoin has been struggling to solidify its position above the $29,000 price threshold over the past week and is now consolidating below this mark after dropping to a 2-month low of $25,899 on May 12.

Transaction Fees Trigger Network Congestion

The drop was triggered by concerns about high transaction fees caused by network congestion as well as other factors such as market sentiment and investor speculation.

Conclusion

Overall, despite bitcoin’s recent consolidation below $29,000 due to concerns about high transaction fees and network congestion, data from Glassnode suggests a bullish trend among BTC holders as they increasingly hold onto their tokens for an extended period – typically for investment purposes – which is indicative of a positive market outlook towards the asset in coming months.