Bitcoin’s illiquid supply has surged to a new all-time high, nearing 15 million tokens as more investors continue to hold their assets amid ongoing market volatility. The increasing illiquidity of Bitcoin, a metric that tracks coins that haven’t moved in over a year, underscores the growing confidence among long-term holders, despite fluctuations in the broader crypto market.
This rise in illiquid supply signals that investors are holding firm on their positions, opting to weather the storm rather than sell amid uncertain market conditions. Analysts believe this trend points to a shift in market behavior, where a larger share of Bitcoin’s circulating supply is becoming more entrenched in long-term hands, potentially tightening liquidity.
Despite Bitcoin’s recent price corrections, the illiquid supply growth suggests that market participants are betting on the long-term value of the digital asset. While short-term price volatility remains a concern, the rising illiquid supply indicates that trust in Bitcoin’s fundamentals is solidifying among investors, who continue to view it as a store of value in an increasingly uncertain economic landscape.
Looking ahead, some analysts argue that this increase in illiquid supply could contribute to upward price pressure, as a lower available supply may create a more favorable environment for price appreciation. As more Bitcoin becomes effectively “out of circulation,” the asset’s long-term potential continues to be viewed with optimism, despite near-term market challenges.
