Bitcoin held by hodlers reaches five-year high

The total amount of lost bitcoins, as well as the digital gold on the wallets of long-term crypto investors, reached a five-year high (7,554,982.124 BTC).

📈 #Bitcoin $BTC Amount of HODLed or Lost Coins just reached a 5-year high of 7,554,982.124 BTC

View metric:https://t.co/dJK8rxkket pic.twitter.com/rUMNGYgtIM

— glassnode alerts (@glassnodealerts) October 17, 2022

An uptick in the metric suggests that the active circulating supply of bitcoin is shrinking. That could bode well for the price of the flagship cryptocurrency, provided demand remains robust or grows.

On the other hand, QryptoQuant analysts noted the continuation of the bear market.

According to their observations, investors who bought bitcoin after December 2020 are now in the red. Consequently, the long-term SOPR is unlikely to resume its upward trend in the near term.

The Fear and Greed Index for cryptocurrencies has been signaling extremely concerning market sentiment for more than a month.

Earlier, Galaxy Digital founder Mike Novogratz predicted that the bear market phase would last another two to six months.

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