CRYPTOHELL2023-06-06

Examining Long-Term Holder Reactions and Bitcoin Correction Amidst Negative Binance News

Referring to the negative news about Binance last night, which caused the price of Bitcoin and some coins to experience a significant correction, we need to examine the reactions of long-term holders by looking at two indicators: Exchange Inflow - Spent Output Age Bands and Exchange Inflow - Spent Output Value Bands, in order to identify which investors are currently causing the short-term correction in the price of Bitcoin. If we look at the indicator Exchange Inflow - Spent Output Age Bands, it appears that long-term holders with a holding period of over 1 year have not engaged in massive sell-offs. The current sellers are holders with a holding period of 3-6 months, day traders, and weekly swing traders. Meanwhile, the Exchange Inflow - Spent Output Value Bands provide information on the amount of Bitcoin sold by several traders, ranging from 1 to 10,000 BTC, within the past 13 months. In conclusion, long-term holders are still holding onto their Bitcoin supply. Perhaps they are preparing for the upcoming halving in 2024?