Bitcoin’s total circulating supply in the hands of retail investors shot up to 17%, the highest in a year, according to the blockchain data analytics platform, Glassnode.
According to Glassnode “retail” indicate holders with less than 10 BTC in a wallet, currently worth nearly $169,000.
This number was not even 12% at the beginning of 2020, but things changed in 2022. Prior to it, each late bull market/early bear market era for Bitcoin experienced periods of substantial retail accumulation including late 2013, early 2014, as well as late 2017.
Financial analyst Will Clemente, co-founder of Reflexivity Research spoke on the data saying that the asset is heading in the right direction.
Not perfect yet, but solid for a 12-year-old asset and definitely trending in the right direction. Bitcoin’s supply disperses over time, while fiat’s holder base concentrates to whales over time.
The Glassnode chart illustrated by Clemente showed the percentage of Bitcoin supply held by retail investors on a steady climb dating back to 2011.
On the other hand, BTC’s long-term holder supply had reached an all-time high of 13.9 million according to a recent weekly on-chain report. With regards to realized losses this year, it stated:
“Despite these spectacularly large losses, the age of the coin supply, and propensity for HODLing by those who remain continue to rise.”
Investors Bought Bitcoin Mostly In The Range Of $18k & $24k
The amount of long-term Bitcoin holdings is equivalent to around 72.3% of the circulating supply.
Despite FTX crashing in early November, the accumulation that began in late July kept on going. Glassnode observed that coin re-distribution and re-accumulation periods had grown following each market leg down in 2022.
A lot of BTC was acquired between $18,000 and $24,000, and this supply is now aging into a long-term bracket which is over six months held.
That being said, Bitcoin holders continue to remove their holdings from exchanges—and not necessarily to sell them. The quantity of Bitcoin held outside of exchanges is at an all-time high, indicating long-term confidence in the asset.
While the massive Bitcoin migration from Binance has calmed down, it is still happening. On December 13, more than $5 billion departed Binance as investors began to worry about its capacity to survive a run.