The latest statistics disclose a noteworthy trend in the Bitcoin sector. As per TXMC, the number of $BTC tokens moving from long-term holders to exchanges is significantly outpacing the latest coin issuance, challenging the conventional views on the supply dynamics of Bitcoin.
Long-Term $BTC Holders Outperform the Issuance of New Tokens
Hence, the long-term holders are currently sending additional tokens to exchanges in comparison with the latest minted coins via mining rewards. The respective development questions the broadly held belief about the halving events of Bitcoin. In line with the traditional belief, the halving events will keep driving substantial price rallies because of a perceived supply decline.
As per data, the holders are delivering more $BTC to exchanges in comparison with the amount the network is generating. The respective scenario reportedly challenges the concept of “supply shocks’ that take place in the market. The usual expectation is that the halving events and fixed supply of Bitcoin create scarcity to raise prices. Nonetheless, contrary to this, the statistics reveal that the market is maintaining its level with the existing tokens.
Despite Significant Accumulation by $BTC ETFs, the Price Stays Stagnant, Denoting Dynamism and Expansion
The data also signifies the accumulation pattern concerning the Bitcoin exchange-traded funds. The $BTC ETFs especially BlackRock have collected Bitcoin in huge amounts during the last year while the token’s price has stayed relatively stagnant. According to the analysts, this denotes the dynamism and expansion of the Bitcoin market as compared with the conventional economic models.
Source: https://blockchainreporter.net/long-term-bitcoin-holders-outpace-latest-coin-issuance/