- According to TipRanks, 62% of wallets have held bitcoin for more than a year without selling.
- The data also shows that 48% of BTC holders will make profits, while 48% will incur losses. TipRanks also suggests that the remaining 4% will neither have loss nor profit
- The Murky future of Bitcoin in the wake of the Merge. Vivid opinions expressed: McClurg shifts assets to Bitcoin.
According to TipRanks, a trading analysis platform, 62% of wallets have been holding bitcoin for a year or more, while 32% of wallets have held BTC from a month up to a year. The percentage dropped drastically to 6% when those who held bitcoin for less than a month are considered.
Albeit the prices of bitcoin falling drastically, a quarter of the circulating supply remained in wallets and 24% of Bitcoins have not been touched for not less than five years.
This behavior of BTC traders raises eyebrows as on-chain signals continue to be
bearish. Nonetheless, the site’s analysis on the profitability of holding Bitcoin showed that 48% of holders are in for profit while the same percentage is to experience a loss. It also depicts that the remaining 4% of BTC holders will neither have profit nor experience loss.
Notably, this trading strategy is commonly referred to as HODLing. HODL is an acronym for “Hold On for Dear Life,” and it is used in the cryptocurrency space as a strategy for holding onto crypto holdings through its various price fluctuations and volatility.
Meanwhile, it is still unclear how the prices of Bitcoin and other cryptocurrencies will behave in the wake of the Ethereum Merge. At the time of writing, the crypto and blockchain communities have different views on how the transition from proof-of-work to proof-of-stake will unfold.
While some companies brace to use the opportunity to their advantage, others like Steve McClurg, an executive at Valkyrie Investment, are reluctant to stay during the transition and are moving to Bitcoin. Time will decide whether Bitcoin will go bullish or bearish at the face of the Merge.