Bitcoin Sees Rise in Long-Term Holders and Influx In Investments Amid Price Slump

By: Isha Das

Bitcoin is making waves in the crypto-market as the divergence between long-term holders (LTHs) and short-term holders (STHs) becomes the largest ever. Data from Glassnode indicates that coins held by LTHs are nearing the 15-million mark while those held by STHs have dropped to a 10-year low of 2.3 million. Despite ongoing price struggles, there's a positive shift in anticipation of a spot Bitcoin exchange-traded fund (ETF) in the U.S. In the last week, Bitcoin experienced inflows of $312 million, taking the year-to-date inflows to over $1.5 billion.

On-chain analytics firm Santiment reveals that exchange inflows of Tether (USDT) and USD Coin (USDC) preceded the recent Bitcoin rally. As USDT and USDC movement become pivotal in bitcoin's price trend, technical indicators suggest that the immediate price target is likely to be $43,000, a trend predicted by the Ichimoku cloud, which gauges potential future price trends and identifies key support and resistance levels. Despite these positive signals, the continuation of the rally relies on deposit numbers into exchanges and the recent consistent drop in short-sellers.