The new report from Glassnode shows the analytic firm discovered Bitcoin’s market remains massively volatile. The king crypto appears uncertain in the near term, following weakened broad financial markets. Contrarily, the marketplace maintains consistency as it adheres to lucrative long-term trends.
Glassnode’s assessment highlighted varying behavior of different Bitcoin holder categories as the overall market explores a bear market. Also, the on-chain intelligence firm evaluates the disparity in HODLer behavior and near-term holder actions. Also, the report considered different address sizes to identify how these holder categories responded to the current uncertainty.
BTC Accumulation Trend
Glassnode stated that the past twelve months saw four varying phases. First and foremost, there was a Bitcoin accumulation period after the November 2021 ATH. The coin distribution due to slow and sustained price fall followed.
Investors resorted to Bitcoin accumulation regardless of the massive market slump that emerged amidst the LUNA crisis. The crypto then explored the current phase, which involves investors looking for exit liquidity through profit taking and token distribution.
Moreover, data shows the present phase comprises whales with more than 10K BTC. These holders have aggressively distributed the tokens, leveraging any exit liquidity amid worldwide market uncertainty. The whale exchange position metric confirmed the narrative.
While assessing BTC long-term holder behavior, Glassnode used the liveliness metric. Glassnode Academy revealed that the metric offers clues into fluctuations in long-term HODLing behavior. Also, the analytic company identified holder spending or accumulation trends.
A metric decrease means a high ratio of the token supply is dormant, and HODLers maintain the HODL stance. Meanwhile, an uptrend shows long-term HODLers began spending their old tokens. Glassnode revealed that Liveliness endures a massive downtrend, decisively breaking beneath the triple highs of the after-2018 bearish market.
That shows Coin Days accumulated by supply quicker than destroyed – a coincidence with the dominant HODLing regime. Moreover, the HODLer position change confirmed that Bitcoin macro HODLing behavior explores multi-year highs with nearly 70,000 $BTC per month. Glassnode added that the events align with a long-term bullish narrative regardless of the present BTC price dips.
Considering the metrics positions, Bitcoin HODLers stay resolute in their long-term conviction. Short-term holders primarily drove the current BTC price dip.