On-chain data shows a decrease in Bitcoin long-term holders (LTHs), but it doesn’t necessarily indicate panic selling. LTHs, defined as those holding for over 155 days, have reduced their stakes to 12.45M BTC, the lowest since July 2022. This decline, at 9.8% this cycle, is milder compared to 15% in 2021 and 26% in 2017, suggesting a controlled distribution rather than fear-driven capitulation. Meanwhile, institutional accumulation, like U.S. spot Bitcoin ETFs nearing Patoshi Reserve levels, points to a shift in ownership rather than mass panic. Historically, such LTH reductions during bull cycles align with profit-taking, not distress. Thus, the data reflects strategic selling over panic.