Long-Term Holders Slow Down Distribution Amid Low Dormant Bitcoin Activity

The rate of dormant Bitcoin movement has hit a four-year low in Q2, according to data from Galaxy's head of firmwide research, Alex Thorn. This suggests that long-term holders have slowed their distribution after heavy profit-taking.

In the second quarter, dormant BTC activity fell to its lowest level since Q3 2022, when 'OGs' were taking profits similar to those seen during Bitcoin's 2017 bull market.

Coin days destroyed, a metric that gives greater weight to older coins, also showed a decline. Thorn noted that the earlier spikes in dormant coin movement were driven by profit-taking from long-term holders.