Bitcoin (BTC) Loyal Holders Continue Accumulation Despite Price Lull, Big Breakout In September?

Bitcoin (BTC) may have failed to reclaim the $60,000 price tag, but under the hood, the on-chain data is quietly aligning in favor of the bulls.

on-chain data quietly aligns in favor of the bulls

Bitcoin (BTC) may have failed to reclaim the $60,000 price tag, but on-chain data appears to be quietly aligning in favor of the bulls.

According to data tracked by blockchain analytics firm Glassnode, 75% of Bitcoin’s circulating supply was last active on-chain at least six months ago.

This finding suggests that a large proportion of BTC holders are HODLing their coins and not moving them around in anticipation of future price increases.

It is also evident from Glassnode’s HODL Waves chart, which shows that 75% of the total Bitcoin circulating supply has been largely inactive throughout 2024.

This metric has seen a significant rise from the previous week, where only around 45% of circulating BTC remained stationary over the same timeframe.

The increasing percentage of inactive Bitcoin supply indicates a strong tendency of HODLing among investors, which is typically associated with a robust belief in the asset’s future value, even amidst the downturn that has characterized the crypto market in recent months.

The term “HODL” describes the behavior of die-hard Bitcoin investors who prefer to hold their stash with virtually no intention of using or liquidating those coins.

The price of Bitcoin has dropped over 12% in the last month, according to data sourced by TradingView.

However, BTC has seen a 12.18% price increase over the last six months. The world’s largest crypto by market capitalization was trading at $58,518, down 2.4% in 24 hours.

As the supply-side illiquidity continues to increase, with fewer coins changing hands, any demand catalyst is likely to send the price soaring.

Could Bitcoin Be Set for a Parabolic Breakout in September?

Meanwhile, popular industry expert Rekt Capital has suggested that Bitcoin’s price could be set to break out in a parabolic rally in September, based on historic post-halving chart patterns.

In a post on Sunday to their 493.8K followers on Twitter, Rekt stated that such a breakout would occur around 160 days after the halving event.

“Bitcoin tends to break out into the Parabolic Phase of the cycle some ~160 days after the Halving. If history repeats, Bitcoin could be just over a month away from breakout. That's late September,” Rekt Capital explained.

This analysis aligns with the recent bullish signals highlighted by on-chain data, suggesting that Bitcoin’s price may be poised for a significant breakout in the coming months.

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