262,000 BTC Snapped up by Major Bitcoin Holders in Accumulation Drive

According to CryptoQuant, long-term Bitcoin holders have increased their supply by a staggering 262,000 BTC over the past 30 days. This surge in accumulation has brought their total holdings to an impressive 14.82 million Bitcoin, which represents 75% of the total Bitcoin supply.

Long-term holders (LTHs) refers to the category of Bitcoin holders who have held their Bitcoin for extended periods without selling during market shifts. Their accumulation of 262,000 BTC in just a month highlights long-term confidence amidst short-term market fluctuations.

This recent accumulation by long-term holders represents a positive backdrop against the present profit-taking on the crypto markets.

Bitcoin had its steepest dip since the sell-off that rocked global markets in early August as part of a broader decline in the crypto market. The decline in Bitcoin comes despite a string of inflows into U.S. exchange-traded funds supporting the original cryptocurrency. Concerns that the U.S. government may be selling seized tokens are among the market's challenges.

Bitcoin price drops

Bitcoin fell over 6% in yesterday's trading session, the worst drop since the Aug. 5 crash, before regaining some of its losses to trade at $60,162 as of press time, still down 5% on the day.

Bitcoin has declined nearly 10.8% in the last two days, from highs of $65,062 to lows of $58,025, as Short-Term Holders established a resistance level at their breakeven price.

Earlier last month, the Bitcoin price fell sharply. According to CryptoQuant, this resulted in a 17% loss for short-term holders as the price returned to the average cost base, letting them sell at breakeven, resulting in resistance.

The recent drop occurred as traders speculated on rising prices, resulting in a fragile environment. Open Interest has increased by 31%, from $13.5 billion to $17.9 billion, since Aug. 5, while funding rates remained positive, indicating a premium for perpetual contracts.