Bitcoin LTH Supply Drop Signals Possible Market Top

By: defi-planet|2025/05/15 19:45:05
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A recent decline in Bitcoin’s long-term holder (LTH) supply may be flashing early warning signs of a potential market top, according to on-chain data from Glassnode. The analytics firm noted that LTH supply referring to wallets holding BTC for at least 155 days had risen steadily from 13.66 million in mid-March to a peak of 14.29 million. However, this figure has dipped for the second time this month, prompting caution among market observers.Adding to these concerns, LTH spending, measured by the movement of coins out of long-dormant wallets, has increased to 0.43. This level has historically been associated with local price tops, suggesting that some long-term holders may be beginning to take profits.#Bitcoin‘s LTH supply rose from 13.66M $BTC in mid-March to 14.29M $BTC, but recently ticked down again for the second time in May. LTH spending has also picked up to 0.43. These inflections can escalate quickly, often front-running local market tops – worth watching closely. pic.twitter.com/xqN0MkiOWS— glassnode (@glassnode) May 14, 2025Amid these signals, some analysts are forecasting a potential reversal in Bitcoin’s trend. Notably, Jacob King, an analyst at WhaleWire, shared with his 520,000 followers on X that Bitcoin appears to be forming a double top. This classic technical pattern has historically marked the end of major bull markets.King also contended that the recent rally was artificially sustained by insider manipulation and substantial Tether inflows rather than organic demand. He cautioned that the market is dangerously overvalued and warned of a looming crash.#Bitcoin‘s LTH supply rose from 13.66M $BTC in mid-March to 14.29M $BTC, but recently ticked down again for the second time in May. LTH spending has also picked up to 0.43. These inflections can escalate quickly, often front-running local market tops – worth watching closely. pic.twitter.com/xqN0MkiOWS— glassnode (@glassnode) May 14, 2025Despite these warnings, Bitcoin has demonstrated significant strength in recent weeks. After experiencing a 32% correction earlier this year, it rebounded sharply, rising from around $94,000 at the beginning of May to $105,747 by May 12, according to CoinGecko. This surge has been primarily driven by institutional interest.One key contributor to this rebound is Strategy, which added $1.34 billion worth of BTC to its portfolio on May 12 alone, bringing its total holdings to nearly 569,000 BTC.Strategy has acquired 13,390 BTC for ~$1.34 billion at ~$99,856 per bitcoin and has achieved BTC Yield of 15.5% YTD 2025. As of 5/11/2025, we hodl 568,840 $BTC acquired for ~$39.41 billion at ~$69,287 per bitcoin. $MSTR $STRK $STRF https://t.co/oSXRMwiTkU— Michael Saylor (@saylor) May 12, 2025In addition, Japan’s Metaplanet has continued to accumulate Bitcoin, recently increasing its stash by 1,241 BTC to reach a total of 6,796 BTC. Meanwhile, Bitcoin spot ETFs have also attracted strong investor interest, recording $1.94 billion in net inflows over the past month, according to data from SoSoValue. If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”The post Bitcoin LTH Supply Drop Signals Possible Market Top appeared first on DeFi Planet.

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