There is a positive signal📶, let me explain the chart below👇🏻
This chart mainly tracks the actions of “LTH” (Long-Term Holders).
• For a long period (since July 16): the chart shows that long-term holders have generally been selling Bitcoin. This means that the most steadfast group in the market is also continuously cashing out, which is usually not a positive sign.
• A recent change has occurred: this months-long “selling” trend has stopped and started to reverse. About 10,700 Bitcoins have shifted from “newcomers” or traders into the hands of “LTH” (Long-Term Holders), who are accumulating them again.
What does this change imply?
• Reduced selling pressure: long-term holders are selling less, and even starting to buy small amounts, indicating that the selling pressure from the most committed group in the market has decreased.
• Sentiment may stabilize: “newcomers” are not panic selling but holding onto their coins. Both groups are temporarily choosing to “hold,” and the market may enter a relatively calm, watchful period.
Based on past experience, when long-term holders shift from continuous selling to stopping or even accumulating, it often signals the end of a one-sided decline, entering a consolidation phase, or even an early sign of the next market move. Of course, this does not mean a big rally is imminent, but it can be seen as a “small spark” that warrants attention, indicating a possible change in sentiment.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
There is a positive signal📶, let me explain the chart below👇🏻
This chart mainly tracks the actions of “LTH” (Long-Term Holders).
• For a long period (since July 16): the chart shows that long-term holders have generally been selling Bitcoin. This means that the most steadfast group in the market is also continuously cashing out, which is usually not a positive sign.
• A recent change has occurred: this months-long “selling” trend has stopped and started to reverse. About 10,700 Bitcoins have shifted from “newcomers” or traders into the hands of “LTH” (Long-Term Holders), who are accumulating them again.
What does this change imply?
• Reduced selling pressure: long-term holders are selling less, and even starting to buy small amounts, indicating that the selling pressure from the most committed group in the market has decreased.
• Sentiment may stabilize: “newcomers” are not panic selling but holding onto their coins. Both groups are temporarily choosing to “hold,” and the market may enter a relatively calm, watchful period.
Based on past experience, when long-term holders shift from continuous selling to stopping or even accumulating, it often signals the end of a one-sided decline, entering a consolidation phase, or even an early sign of the next market move. Of course, this does not mean a big rally is imminent, but it can be seen as a “small spark” that warrants attention, indicating a possible change in sentiment.