Record High for Active BTC Supply

02/22/2023 18:51 • Tech Ticker • 135 views

According to the report, according to the data of Glssnode, the percentage of supply of BTC that has been active for more than one year has just reached a record high of 66.974%.

The percentage of BTC’s last active supply for more than one year has reached a record high

Interpret the above information:

The recent report from Glssnode has revealed that the active BTC supply has reached a record high of 66.974%, marking an increase in the percentage of BTC supply that has been active for more than a year. This data is significant as it provides insight into the behaviour of Bitcoin investors and the overall state of the cryptocurrency market.

The percentage of active BTC supply indicates the proportion of Bitcoin that has been transacted within the past year. The increase in the active supply shows that trading activity in BTC has been relatively stable, with investors choosing to hold their coins rather than liquidating them. This could be attributed to various factors, such as the high levels of volatility and uncertainty regarding the global markets due to the ongoing pandemic.

One possible explanation for the high percentage of active BTC supply is the increasing institutional adoption of Bitcoin. Large investors and corporations are holding onto their BTC investments for the long term, with the belief that the cryptocurrency will continue to rise in value in the future. This has resulted in a significant decrease in the circulating supply of Bitcoin, which is contributing to its overall scarcity and driving up demand.

Another factor that could be contributing to the spike in active BTC supply is the halving event that occurred in May 2020. The halving process reduced the mining rewards for Bitcoin, effectively reducing the amount of new BTC entering the market. As a result, investors are holding onto their existing BTC holdings in anticipation of future price increases.

In conclusion, the record high of active BTC supply provides insights into the current state of the cryptocurrency market. The increase in active supply could be attributed to several factors, including institutional adoption, the halving event, and the high levels of volatility in the market. However, regardless of the reasons behind this trend, it is an indication that Bitcoin has gained traction as a digital asset that is valued by investors for its potential long-term returns.

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Record High for Active BTC Supply

The percentage of BTC’s last active supply for more than one year has reached a record high

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