Shift in Long-Term Holder Bitcoin Strategy Potentially Propelling BTC Prices to $120,000
Long-Term Bitcoin Holders Fuel Market Growth
Long-term Bitcoin holders are exhibiting increased bullish sentiment, contributing to recent market growth. This is evident from the reduced selling pressure among long-term holders and the strong accumulation of Bitcoin, according to on-chain data.
The Realized Profit/Loss ratio has declined, indicating that Bitcoin holders are realizing fewer profits and holding onto their positions longer, even during downward price trends. This trend is particularly noticeable among holders in the 3-5 year range, who have been the primary drivers of Bitcoin's recent decline, unlike the November 2021 peak.
In contrast, long-term Bitcoin holders have generated record daily realized profits. On July 18, 2025, they generated over $1.5 billion in profits, marking the largest since December 2024. Despite a recent dip to around $115,000, more than 99% of Bitcoin's supply remains in profit, demonstrating the strength of accumulation and holder confidence.
Institutional support is bolstering this trend. Bitcoin ETFs have seen over $1 billion in net inflows in recent weeks, further stabilizing and supporting the market.
While retail traders turned slightly bearish near the $113,000 price level, technical and historical patterns suggest this may be a normal corrective phase before a potential new bullish breakout.
Prominent analysts and market participants forecast continued growth, with price targets ranging from $130,000 to $200,000 by the end of 2025, underpinned by institutional adoption and limited Bitcoin supply.
Lower exchange inflows signal buying interest, as whales prefer holding over immediate sell-offs. Buy activity is gradually returning to the Bitcoin market, with more recent holders choosing to keep their Bitcoin positions. In the past day, the spot market has seen $51 million worth of Bitcoin bought, marking a shift in market activity.
Trading volume for Bitcoin surged 32.95% to $79 billion in the past day, suggesting increased investor interest. The Fund Flow Ratio data from CryptoQuant also points to reduced Bitcoin interaction with exchanges, further supporting the trend of long-term holders choosing to hold rather than sell.
This shift in market behavior, characterized by reduced selling pressure, strong accumulation, and record realized profits, indicates a bullish outlook for Bitcoin. If this trend continues, Bitcoin is likely to break its all-time high and enter price discovery.
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