Comparison of Current Bitcoin Capitulation with Past Crashes.
The data on the blockchain indicates that Bitcoin holders who have held the cryptocurrency for less than 155 days are depositing 0.82% of their Bitcoin supply to exchanges. This article compares these inflows to past market crashes. Short-term holders (STHs) are investors who have held onto their coins for less than 155 days, and they are considered the weakest hands in the market. Long-term holders (LTHs) are investors who have held onto their coins for more than 155 days and are considered diamond hands. Recently, due to FUD in the market caused by the US Securities and Exchange Commission (SEC) suing cryptocurrency exchanges Binance and Coinbase, the market has been volatile. The STHs have been the first to sell off their coins during this volatility. The on-chain analytics firm Glassnode has studied the exchange inflow data for STHs to see how they are handling the current situation. The STH exchange inflow has reached a value of 0.82%, meaning that these investors have been sending around 0.82% of their supply to these platforms. However, this value is still relatively low compared to panic selling events in the past year. As of writing, Bitcoin is trading around $26,600, down 2% in the last week.
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