phaver

" #BTC Reduced Distribution Speed, Suggests Long-Term Investor Holding Trends" 

The Velocity indicator is the total amount of coins moved over a year divided by the total supply, which is an indicator of how fast the coins are circulating in the market. 

Average coin dormancy is a measure of when and how much Bitcoin, which hasn't moved for a long time, is an indicator of long-term investors' coin movement. (Concepts different from Velocity) 

In 2024, Velocity has remained close to the bottom for nearly a year. Even when the price rose from $35k to $73k, the market's Bitcoin flow did not increase much. Around March 2024, when the ATH was broken, Dormancy rose significantly, meaning Bitcoin, which had been asleep for years, had moved. 

The fact that Velocity has not increased despite the surge in Dormancy suggests that investors are looking to hold Bitcoin for a long time (HODL) overall. However, as prices have risen significantly, Dormancy has risen as some long-term holders have sold Bitcoin.