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According to a report by Glassnode, long-term Bitcoin holders have started reaccumulating for the first time since December, with selling pressure from these holders having cooled significantly.Â
Analysts have also pointed out that Bitcoinâs price movements have been relatively muted compared to previous bull cycles.Â
Bitcoin Holders ReaccumulatingÂ
Glassnodeâs report reveals a significant shift in the behavior of long-term Bitcoin holders, marking a return to reaccumulation for the first time since December 2023. According to the report, Bitcoin, which is trading just under its all-time high, has entered a phase in which long-term holders are increasing their holdings of the asset once again.Â
âResiding just shy of the ATH, Bitcoin continues to consolidate, with long-term investors beginning to re-accumulate coins for the first time since Dec 2023.â
According to the Glassnode analysts, the selling pressure from these long-term holders has cooled significantly over the past week, and a return to accumulation patterns has been witnessed. The report also suggested that volatility is required to generate a new wave of sell-offs. Glassnodeâs report also indicated that market indicators are suggesting a return of buy-side demand, citing the fact that spot Bitcoin ETFs experienced a net inflow of $242 million per day last week.
 âConsidering the natural daily sell pressure by miners since the halving of $32 million per day, ETF buy pressure is almost eight times larger, which highlights the size and scale of the ETF impact. As the market approaches new all-time highs and enters price discovery, we observe the beginning of the Euphoria phase, characterized by 93.4% of bitcoin supply held in profit.â
According to Glassnode, such phases typically last for 6-12 months, during which holders cling to their holdings in anticipation of a price increase.Â
Price Action MutedÂ
In its report, Glassnode also noted that Bitcoinâs price action over the past two to three months has been fairly muted compared to the cryptocurrencyâs previous bull cycles, with Glassnode calling the current bull cycle âmore tempered.â The report points out data that shows Bitcoin has recorded weekly, monthly, and quarterly gains of over 3.3%, 7.4%, and 25.6%, respectively, on only 5 of the previous 90 days.Â
Historical data shows that during previous bull cycles, such gains occurred more frequently, between 18 and 26 days over a 90-day period.Â
âIn prior cycles, this count reached between 18 and 26 days, which suggests the current market may be somewhat more measured relative to historical bull markets.â
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