1/ A thread showing 12 charts that illustrate #Bitcoin investor confidence and increased HODLing behavior.

Spoiler: This is long-term extremely bullish.

(data @glassnode)

Let's dig in

2/ First, the obvious one:

61% (!) of #Bitcoin supply that hasn't moved in over a year – that's an all-time high.

Moreover, 44% hasn't moved in 2+ years (approaching ATH), and almost 30% hasn't moved in 3+ years.

Loads of hodling here.

http://studio.glassnode.com/compare?a=BTC&a=BTC&a=BTC&m=supply.ActiveMore1YPercent&m=supply.ActiveMore2YPercent&m=supply.ActiveMore3YPercent&sameAxis=true

3/ The average Coin Days Destroyed (= transacted #bitcoin volume times number of days since coins were last moved) per year has been decreasing and is at its lowest level since 2016.

Lower CDD = more long-term hodlers.

http://studio.glassnode.com/metrics?a=BTC&m=indicators.Cdd

4/ Similarly, #Bitcoin Binary Coin Days Destroyed (= number of days per year in which more coins were destroyed compared to the historic average) has never been as low as in 2020.

(h/t @hansthered for this metric)

http://studio.glassnode.com/metrics?a=BTC&m=indicators.CddSupplyAdjustedBinary

5/ Reserve Risk is extremely low, showing high confidence of long-term #Bitcoin investors.

Reserve Risk at these levels indicates an attractive risk/reward ratio to invest.

Highly recommended read by @hansthered & @Ikigai_fund – http://www.kanaandkatana.com/valuation-depot-contents/2019/5/30/exploration-of-bitcoin-days-destroyed

http://studio.glassnode.com/metrics?a=BTC&m=indicators.ReserveRisk

6/ Liveliness (=ratio of the coin days destroyed and the sum of all coin days ever created) has been on a downwards trend since 2019.

Liveliness increases as long-term holders liquidate positions, and decreases as long-term investors accumulate to HODL.

http://studio.glassnode.com/metrics?a=BTC&m=indicators.Liveliness

7/ The number of lost and HODLed #bitcoins has increased by 8% since the beginning of 2019.

It is currently sitting at more than 7.3 million $BTC – that is 40% of the circulating #Bitcoin supply.

(h/t @TuurDemeester & @Adamant_Capital for this metric)

http://studio.glassnode.com/metrics?a=BTC&m=indicators.HodledLostCoins

8/ In fact, HODLers are heavily accumulating in 2020: There have been only 16 days since the beginning of this year, in which the #BTC Hodler Net Position Change has been negative.

HODLers doing what they do best.

(again h/t @TuurDemeester and @Adamant_Capital for the metric)

9/ The Median Spent Output Lifespan (MSOL) has been decreasing since 2018.

This shows that on average the age of #bitcoins being moved on-chain is constantly decreasing in the recent years.

(h/t @renato_shira for this metric)

http://studio.glassnode.com/metrics?a=BTC&m=indicators.Msol

10/ Despite a continuous and immense growth of the #Bitcoin network, the amount of $BTC transferred on-chain has stagnated since 2016.

This is a clear indication of Bitcoin's SoV narrative.

Investors are simply not willing to spend their bitcoins.

http://studio.glassnode.com/metrics?a=BTC&m=transactions.TransfersVolumeEntityAdjustedSum

11/ Long-Term Holder MVRV is looking strong.

LTH-MVRV usually only drops below 1 after prolonged #Bitcoin bear markets. Imo, current values indicate long-term investor confidence in higher $BTC prices from here.

http://studio.glassnode.com/metrics?a=BTC&m=market.MvrvMore155

12/ #Bitcoin velocity, which measures how quickly units are circulating in the network, is the lowest it has been in 10 years.

Once again this is strong support for investors' unwillingness to spent $BTC and the store-of-value narrative.

http://studio.glassnode.com/metrics?a=BTC&m=indicators.Velocity

13/ #Bitcoin balance on exchanges has significantly dropped since the beginning of the year.

While there are a variety of factors that contribute to this decrease, a portion of this is potentially due to investors' taking custody of their $BTC.

http://studio.glassnode.com/metrics?a=BTC&m=distribution.BalanceExchanges

14/ Conclusion:

Much hodling going on. I'm extremely long-term bullish on #Bitcoin . Don't let yourself get distracted by short-term price action – and always remember to zoom out and look at the bigger picture.

(Obviously nothing here is investment advice.)