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Dormant Bitcoin movement hits 4-year low as OG selling eases

Second-quarter dormant coin activity fell to the lowest level since Q3 2022, and coin days destroyed moved similarly, indicating reduced distribution from long-term holders.

Reported · Written up by our desk · Market Structure

Cointelegraph reports that dormant Bitcoin activity in the second quarter fell to its lowest level since the third quarter of 2022, a sign that long-term holders have slowed selling after a period of heavier distribution.

The outlet cites data shared by Alex Thorn, Galaxy’s head of firmwide research, showing the decline in dormant coin movement alongside a similar drop in coin days destroyed, a metric that weights older coins more heavily.

Thorn said earlier spikes in dormant movement were driven by “OGs taking profit,” a pattern the analysis links to Bitcoin’s 2017 bull market, and the recent slowdown suggests long-term holders are holding rather than distributing.

Coin days destroyed and dormant coin movement are both watched because increased activity from long-term holders has historically coincided with profit-taking and stronger selling pressure, while subdued activity can point to investors keeping their coins.

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