Old Bitcoin wakes up with 1Y – 5Y holder activity spikes – What is the LTH signal?
After reaching a new all-time high of $112,000, Bitcoin is now being merged below this level, above the critical $106,000 support zone. Despite short-term resistance, the broader structure remains bullish, with analysts expecting impulsive moves once BTC picks up higher ground. As global markets face increased economic uncertainty, Bitcoin continues to show resilience, thriving as a hedge, surpassing traditional risk assets.
Market sentiment remains positive as chain signals enhance the bullish outlook. According to new data from GlassNode, spending for older bitcoin holders is heating up again. Total trading volume of holding groups soared to $4.02 billion from one year to five years, marking the highest level since February. This rise in long-term holder activity is usually ahead of major market shifts as senior players begin to reposition.
Although some believe this is potential profit, it also indicates the confidence and market participation of experienced holders. As BTC merges near record highs, this behavior may reflect long-term investors’ behavior preparing the next field for broader market participation.
Bitcoin faces key tests as long-term holders migrate billions
Bitcoin is facing a critical moment as it consolidates its all-time low of less than $112,000. After BTC’s rally exceeds 50% since the April low, it is now necessary to hold areas above $106K – $108K and decisively exceed the 112K level to confirm the new bullish impulse. The days that follow may set the tone for the next game of this cycle.
Macroeconomic tensions are intensifying, and we and the Japanese treasury are showing signs of flickering pressure. In this climate, Bitcoin appears to be a hedge against traditional financial instability. In times of uncertainty, its non-sovereign, decentralized nature continues to attract capital, while recent price action suggests that the trend is strengthening its power.
On-chain data from the glass section adds depth to the picture. Spending on older Bitcoin holders (in the 1-5-year queue) surged to a total of $4.02 billion, the highest since February. The crash shows significant outflows in long-term wallets:
- 3 – 5 years queue: $2.16B (second largest in this cycle, second behind $6B in March 2024)
- 2-3 Years Queue: $1.41B
- 1-2 years cohort: $450 million
This marks the fifth largest 1-5-year spending surge in the current cycle, driven primarily by holders over three years or more. Although some interpret it as profitability, it may also indicate the belief that experienced participants rotate capital or locate to gain further gains.
Bitcoin is in a possible major breakthrough thanks to holding technical support and steadily returning liquidity. Clear moves over $112K, the quantity will verify the next stage of the bull market and potentially open the door to $120K and beyond.
BTC merger below ATH as Bulls defend key levels
Bitcoin is trading at $108,858 on the daily chart, fixed at its latest all-time high of $112,000. Price action shows that BTC held nearly $103,600 above the previous resistance zone, which is the basis for the May breakout. The market structure remains optimistic, and Bitcoin has printed a series of high and higher lows.
The 34 EMA (green) $102,277 and 50 SMA (blue) are both rising, enhancing a strong mid-term uptrend. If there are any callbacks, these moving averages are now dynamically supported. During this merger, the number dropped slightly, typical after a strong impulse move, indicating that the market is pausing before the next big decision.
To resume bullish trends, BTC needs to be convincingly over $112,000. A strong breakthrough can open the door to a rapid transfer to $120K and beyond. On the downside, maintaining support above $103,600 is crucial to avoid deeper retracement.
Featured images from DALL-E, charts from TradingView
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