Research reveals that Bitcoin holders with unwavering faith considerably reduce selling activities by almost half at a price of $73.8K.

Bitcoin (BTC) “diamond hands” are defying expectations that the price has reached its peak at $73,800, according to new research from on-chain analytics firm Glassnode. The study, conducted on May 28, reveals that selling pressure from long-term holders (LTHs) is only half as intense as in previous bull markets. Despite the fact that LTH wallets are currently in profit by an average of 3.5 times, they are not selling BTC at a rate that would make the current bull market unsustainable. Glassnode explains that as prices increase due to renewed buy-side pressure, the importance of sell-side pressure from LTHs also grows. LTHs are wallets that have held BTC for 155 days or more and represent the less speculative end of the Bitcoin investor spectrum. Using the market value to realized value (MVRV) metric, Glassnode predicts that LTHs will soon enter historically high levels of unrealized profit. The transition phase between a bear and a bull market typically sees LTH trade above 1.5, but below 3.5, and can last for one to two years. Taking the latest all-time high in March into account, there is reason for optimism if BTC price discovery returns. Even at the $73,800 peak, LTHs were not distributing to the market as heavily as during previous bull market blow-off tops. Glassnode also notes ongoing selling by investors in the Grayscale Bitcoin Trust (GBTC), which lost its position as the largest spot Bitcoin exchange-traded fund by assets under management this week. Despite this, the report suggests that LTHs will continue their resurgent investment trend. The article concludes by emphasizing that it does not provide investment advice or recommendations, and readers should conduct their own research before making any decisions.