Unchained Capital, a bitcoin-focused financial services company released its HODL Waves metrics today, which shows that bitcoiners moved 185,000 dormant coins (approximately 1% of the total BTC supply) during the month of November.
According to the data compiled by Unchained, the mentioned bitcoin remained dormant for the last 12 months as the percentage of dormant coins (6months – 12 months) dropped significantly during November. Coins that had not moved in the last 6-12 months dropped from 11.03% to 9.86% in the last month.
Bitcoin price rallied from $13,700 to nearly $20,000 in November, the recent numbers indicate that the non-active BTC addresses are moving to take advantage of the price jump. A similar trend was spotted in coins that had not moved for the last two to three years.
“Nearly 1% of the total supply of Bitcoin moved out of long-term storage (>1 year in the same address) during the price run-up from $13,700-$19,670 in November,” unchained mentioned in a tweet.
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The financial services company pointed out that nearly 61.5% of the total supply of bitcoin remained non-active in the past 1 year. Only 38.5% of the total supply has been active since November 2019.
The report outlined the power of bitcoin holders as a large amount of the supply remained non-active in the last 5-10 years. Nearly 10% of the total bitcoin supply remained dormant since 2010. The percentage of supply that didn’t move in 7-10 years jumped from 7.08% to 7.28% during November. While the overall trend shows significant activity in short term holders of BTC between one and three years, a large part of the supply remained non-active. It seems like long-term holders are still not ready to move their coins, even at $20,000.
Finance Magnates earlier reported about the dominance of top crypto companies in bitcoin holding as Grayscale Bitcoin Trust and Block.one held more than 640,000 BTC by the end of November 2020. Institutional adoption in the recent months helped BTC in terms of price gain but the dormant supply remains a key issue.