Bitcoin Long-Term Holders Are 'Keeping A Cool Head' Through Correction, Analyst Says

Darkfost classified long-term holders as wallets holding BTC for more than six months since movement likelihood reduces after 155 days of inactivity, according to a 2020 Glassnode study.

• Darkfost said Bitcoin long-term holders are patient throughout the latest slump and unlikely to sell at present levels.
• The Cumulative Value Days Destroyed indicator was under 0.3, characteristic of weak markets, compared to over 2 during the cycle high and over 4 in March 2024.
• Supply at a loss and low CVDD have traditionally accompanied mid-correction price action more than capitulation lows.

Bitcoin (BTC) long-term holders are showing patience through the latest correction, with on-chain data suggesting they are unlikely to start selling at current levels, according to a CryptoQuant-verified analyst.

In an early Saturday post on X, analyst Darkfost said the Cumulative Value Days Destroyed (CVDD) metric was sitting near 0.3, a reading typically seen during bear markets or deep corrections. The level was well below the readings above 2 and above 4 that the analyst said were observed in March 2024, around the previous cycle top.

"Today, LTH are keeping a cool head and likely waiting for BTC to climb further before taking profit," Darkfost wrote, referring to long-term holders. He called this the best behavior in the current environment.

Long-term Holders Are Staying Put

Darkfost described long-term holders as investors who have held BTC for more than six months, citing a 2020 Glassnode study that found Bitcoin's probability of movement drops sharply after roughly 155 days of inactivity. In plain terms, the longer Bitcoin sits untouched, the less likely it is to be sold during normal market stress, which is why analysts treat coins dormant for six months or more as long-term-holder supply.

CVDD is built on the Coin Days Destroyed (CDD) framework. CDD gives more weight to coins that have stayed dormant longer before moving, while CVDD layers a value component on top, making it useful for spotting when old coins move in size during high-value market periods. Higher CVDD readings typically indicate long-term holders are actively realizing profits.

Two Signals, Not Necessarily A Contradiction

A large share of Bitcoin supply sitting at a loss points to market stress, while the low CVDD reading suggests older coins are not moving aggressively. Historically, that pattern — newer entrants underwater while older holders sit tight — has been more consistent with mid-correction price action than with capitulation lows.

Bitcoin’s price was trading at $63,335, up 0.3% in the last 24 hours, adding only $152.72 during the same time. On Stocktwits, retail sentiment around BTC remained in the ‘bullish’ zone, while chatter stayed at ‘low’ levels over the past day.

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