Bitcoin short-term holders in profit nearly triple to 74.9% in one week

  • Bitcoin’s rebound lifted profitable short-term holder supply from 26.1% to 74.9%.
  • 28,600 BTC entered exchanges from short-term holders on August 24.
  • Bitcoin gained 22% to 25% in August, its strongest August in over a decade.

Bitcoin’s rebound from approximately $63,000 to $77,000 between August 17 and August 24 lifted the share of short-term holder supply in profit from 26.1% to 74.9%, according to CryptoQuant data. Short-term holders are investors who have held Bitcoin for fewer than 155 days. The reversal also changed exchange flows: net short-term-holder inflows moved from -18,700 BTC on August 16 and -11,900 BTC on August 17 to positive 28,600 BTC on August 24. CryptoQuant analyst Axel Adler Jr. said the shift is consistent with a move from capitulation, or loss-driven selling, to profit-taking after the recovery. Bitcoin gained about 22% to 25% in August, its strongest August performance in more than a decade, helped by strong exchange-traded fund inflows. Adler identified sustained short-term-holder inflows above 25,000 BTC as a threshold that could increase overheating risks, although one reading above that level does not establish a trend. Continued deposits without sufficient new demand could weigh on prices, while long-term-holder behavior may either reinforce or moderate the next market move.

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