Bitcoin’s long-term holder (LTH) supply has dipped slightly after hitting a peak of 14.29 million BTC. This dip coincides with an increase in spending, reaching 0.43, signifying early signs of market shifts. Analysts suggest this rise in spending may reflect distribution among older holders, potentially foreshadowing local market peaks.
Between March and May 2025, LTH holdings increased by over 630,000 BTC, pushing the total supply to 14.29 million. This increase has slowed down this month. Notably, the LTH spending indicator climbed to 0.43, signaling a potential shift in market behavior.
Historical data shows a correlation between declining LTH supply and increasing spending. When LTH holdings decrease, it often signals a phase where older coins are being moved again, potentially hinting at future market peaks. This trend coincides with the rise in Bitcoin prices, which have reached near-record highs recently. As prices approach previous record levels, long-term holders increasingly begin spending to lock in their gains, suggesting a cautious outlook.
This spending pattern has led to Glassnode’s LTH Spending Binary Indicator reaching a value of 0.43, up from recent lows observed earlier in 2025. Values closer to 1.0 indicate a greater distribution process while values near 0.0 suggest continued accumulation.
This level of spending doesn’t yet signal a peak in activity but is still notable, suggesting a change in behavior among holders. Traders and investors are closely watching this data to adjust positions accordingly and predict potential market shifts.
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