Over the past month, the distribution of Bitcoin has noticeably slowed, particularly among older holders, with sales from cohorts older than one year dropping to an expected total of 517,000 BTC, positioning it in the 33rd percentile historically. This trend is particularly pronounced among the 1-year to 2-year cohort, where sales have plummeted to just 190,000 BTC, the lowest since January 2020. This reduction in selling activity is likely due to many investors being underwater on their purchases, as prices for Bitcoin have decreased significantly. Amidst these dynamics, the Bitcoin network’s hash rate has also contracted by approximately 14% over the last 90 days, reflecting tightening miner margins due to both lower Bitcoin prices and consistent fixed costs, which further exacerbates the challenges miners face in this volatile market.
Bitcoin distribution slows as selling from older cohorts declines
