Bitcoin Long-Term Holders Show 50% Decrease in Activity

Bitcoin's market outlook has recently indicated a period of slowdown, with the Binary Coin Day Destroyed (CDD) indicator suggesting a calm market environment. According to data from Axel Adler Jr., long-term Bitcoin holders are showing minimal activity, which is a sign of market stability. Adler Jr. shared this observation on social media, highlighting the current stagnation within the Bitcoin ecosystem.

The Binary CDD indicator, which tracks the movement of long-dormant wallets, currently shows a significant decrease in activity. This indicator is used to monitor the start of Bitcoin shifts by old holders. The present status of the Binary CDD indicator suggests that the market is in an accumulation phase or a period of calm, with old Bitcoin holders not engaging in massive shifts of their holdings.

The Binary CDD indicator calculates the destruction of coin days, which means that when coins are transferred, it indicates potential market shifts, especially if the coins are held by seasoned Bitcoin investors. Typically, increased Binary CDD values highlight coin sell-offs by long-term investors. However, the current data shows that old coins are not being actively sold, which is a positive sign for the market.

According to Axel Adler Jr., the activity of old coins is currently at 50% of the level of the overall 365-day moving average (MA). This means that long-term Bitcoin holders are not actively selling their holdings, which contrasts with previous market cycles where such holders aggressively exited their positions at peak valuations. This decreased activity in the Binary CDD data suggests that experienced holders are confident in the long-term trajectory of Bitcoin.