ShayanMarkets
Long Term Holders are distributing their assets
The long-term holders are a vital cohort among market participants. Hence, Tracking their behavior might help in anticipating the market’s direction. The Binary Coin Days Destroyed metric can be used to identify the long-term holders’ activity. It points to 1 if Supply Adjusted Coin Days Destroyed is larger than the average Supply-Adjusted CDD and points to 0 if not. The following chart depicts the Binary CDD metric (14-day SMA) and Bitcoin’s price. A spike in the metric indicates potential selling pressure from the long-term holders. Each time the metric printed a surge, the price dropped significantly. Currently, the metric has experienced a massive rise as well as the price. Long-term holders might find this rebound an excellent opportunity to distribute their assets and manage their exposure to the market.