Recent price performance by bitcoin has been spectacular, skyrocketing to regional highs exceeding $25,000. The crypto world is now paying attention to a surprising development, though: a dramatic increase in the number of Bitcoin wallets that have lain dormant for five to seven years.
On addresses that have not been used for at least five years, more than 1.6 million Bitcoin have not been transferred. Long-term holders are taking profits as Bitcoin's price continues to rise. This unexpected rush in activity from older wallets has led some to think that long-term investors are taking profits as Bitcoin.
📈 #Bitcoin $BTC Amount of Supply Last Active 5y-7y just reached a 5-year high of 1,611,029.492 BTC
— glassnode alerts (@glassnodealerts) February 19, 2023
View metric:https://t.co/1iBTMZ79br pic.twitter.com/XhuQ5BDw6W
Since the start of this year, Bitcoin has increased in value by more than 40%, and its recent price performance has been nothing short of remarkable. Bitcoin, however, has had a number of significant price dips in the past year, indicating some market volatility.
Despite these losses, Bitcoin was still able to bounce back and maintain its upward trend. The market may be entering a new phase as long-term holders begin to accumulate more assets, according to the declining activity of long-dormant wallets.
