Bitcoin LTHs Begin Selling as Market Cycle Shifts

Long-term holders of Bitcoin are starting to sell their holdings after accumulating at record levels, signaling a possible shift in the current market cycle.

According to CryptoQuant data, the LTH supply recently turned lower after climbing toward 16 million $BTC, while short-term holder supply remained relatively subdued. This trend is similar to previous cycles of LTH supply curves, which reflect how early investors sell part of their portfolios when prices rise.

The first major price run-up in this cycle lasted for about 31 months, compared to 8, 17, and 16 months from previous cycles. Continued ETF inflows, institutional participation, and persistent whale accumulation likely delayed the next redistribution phase.

However, LTH supply remains near historical highs, suggesting profit-taking has only begun. The movement indicates long-term holders are now acting like participants again, and thus the cycle is moving into its second distribution phase.