Fidelity says 15 million dormant Bitcoin signal possible market bottom

Fidelity said long-term Bitcoin supply hit a record on July 5, 2026, as prices remained under pressure, while other analysts pointed to a possible fourth-quarter bottom and seasonal risks in August.

BTC

Summary

About 15 million Bitcoin that have not moved for at least 155 days are now classified as long-term holdings, marking a record high in Fidelity Digital Assets data and reinforcing a pattern some analysts associate with bear-market lows. Research analyst Zack Wainwright said the record was set on July 5, 2026, while prices were still under pressure, and that long-term holder supply has historically expanded in bear markets and contracted in bull markets. He said nearly 40% of this cohort is sitting at an unrealized loss, yet most holders have maintained exposure rather than selling. Bitcoin is trading roughly 50% below its October 2025 peak above $126,000, a shallower drawdown than prior bear markets that saw declines of 70% to 90%, which Wainwright said may point to a maturing market. He added that several on-chain metrics are approaching levels historically associated with cycle bottoms, while cautioning it remains too early to say whether a turning point has been reached. Benjamin Cowen separately said his base case is for a fourth-quarter bottom, with seasonal patterns implying August could be the next key test after losses of 15% to 18% in each of the last three prior midterm election years and a potential low near $44,000.

Terms & Concepts
  • on-chain metrics: Blockchain-derived data points used to assess market behavior and investor activity.
  • unrealized loss: A decline in an asset's value on paper that has not been locked in through a sale.
  • long-term holder: An investor whose coins have remained unmoved for an extended period, in this case at least 155 days.