According to data from IntoTheBlock, addresses holding BTC for less than a month decreased their supply as bitcoin slid by $10,000 in less than a week.

  • Bitcoin went through one of its worst corrections in terms of its USD value in the past few weeks. The asset traded above $43,500 on January 20th before it dumped by over $10,000 to a six-month low beneath $33,000.
  • During such turbulence, history shows that long-term BTC holders tend to stick to their positions. Some even buy the dip, which is evident by some whales and even the first country that legalized the asset – El Salvador.
  • However, those who have entered the market more recently and are not accustomed to bitcoin’s enhanced volatility and rapid price corrections feel differently.
  • As it has happened numerous times in the past when BTC’s value declined by double-digit percentages in a short time, such investors dispose of large portions of their holdings.
  • Something similar transpired during the recent correction as well, according to data from the blockchain analytics company IntoTheBlock.
  • The resource’s Balance by Time Held Indicator revealed that bitcoin investors holding for less than a month reduced their total BTC supply by 36% on a monthly scale.
  • IntoTheBlock concluded that these traders “followed the price action of BTC, and as the price started to fall, they sold at a loss.”

Who’s been selling #Bitcoin?

Our Balance by Time Held Indicator shows how the traders – addresses holding for <1m, decreased their supply by 36% over the past 30 days

These traders followed the price action of $BTC, and as the price started to fall, they sold at a loss

— IntoTheBlock (@intotheblock) January 27, 2022


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