- Rising LTH share signals strong confidence in Bitcoin’s long-term growth.
- Historical peaks in 2021 and 2025 align with increased LTH activity.
- LTH dominance may drive Bitcoin toward new all-time highs.
Long-Term Holders Drive Bitcoin’s Bullish Momentum
Bitcoin continues its upward trajectory, recent data from CryptoQuant highlights a significant trend: the rising share of long-term holders (LTHs) is a key driver behind the current rally. The “Bitcoin: Realized Cap – UTXO Age Bands” chart reveals a fascinating insight into how coins held for 18 months to two years are shaping market dynamics. This metric, which tracks the value of Bitcoin based on the price at which each coin was last moved, shows distinct peaks in 2021 and 2025, aligning with major price surges. The upward arrows on the chart indicate moments where LTH activity has bolstered confidence, suggesting that these holders are not merely riding past trends but are strategically positioning for sustained growth.
Strong Conviction Among Long-Term Holders
The significance of this trend lies in the behavior of LTHs, who typically hold through volatility, reflecting strong conviction. As noted by @avocado_onchain, if this pattern persists, it could signal a market where investors are betting on long-term value rather than short-term speculation.
This contrasts with short-term holders (STHs), who often react to immediate market shifts but provide less stability. The current rally, marked by a steady increase in LTH dominance, mirrors historical bull runs, particularly the 2021 peak, hinting at potential for new all-time highs.
Maturing Market Ahead of Year-End Rally
However, the market isn’t without its nuances. While LTHs offer a solid foundation, their reluctance to sell can obscure short-term trends, as pointed out by some X users like @seliseli_46. Complementary analysis of STH metrics might provide a fuller picture for traders seeking actionable insights. Nonetheless, the resilience of LTHs, especially as Bitcoin nears $100K, underscores a maturing market where long-term belief in the asset’s potential is stronger than ever. We move into late 2025, this trend could set the stage for a robust Q4, with LTHs acting as the backbone of Bitcoin’s next growth phase.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.