The chart below shows Bitcoin's Realized Price by UTXO Age Bands. An interesting shift has occurred since mid-October.
The realized price for almost all long-term holding age bands, except for the 3-5 year cohort, has been moving up in tandem since mid-October.
- What does this mean? It signifies that medium- and long-term capital is collectively raising its cost basis. This is due to Long-Term Holders (HODLers) selling (spending) some of their lower-cost coins for profit, which subsequently increases the average cost of the coins they still hold. This is a healthy sign of capital rotation.
- A Key Observation: The 3-5 year HODLers are only showing minimal distribution, suggesting this group has not yet been tempted by current prices to exit in a large way.
- Positive Shift: The 12m-18m holders have exited their earlier distribution phase and their cost basis has also started trending up since mid-October.
In summary:
Despite the recent price correction from 120K back to 90K, the overall holding cost basis is rising. From a long-term capital perspective, the current price floor remains robust and stable.
Written by Sunny Mom
