Bitcoin (BTC) has gained momentum in May, recording a 3% increase since the start of the month, building on a significant 14% surge in April. This upward trend is bolstered by noteworthy inflows into BTC exchange-traded funds (ETFs) over the last two weeks, alongside a trend of consistent bitcoin treasury accumulation that helps support the market.
On an on-chain analysis front, data from Glassnode reveals that both short-term holders (STHs) and long-term holders (LTHs) have increased their bitcoin holdings. While LTHs have been accumulating since early March, STHs have joined the trend with purchases over the past week.
According to Glassnode, long-term holders are defined as those individuals who have held BTC for 155 days or more, while short-term holders have held for less than 155 days. In their latest weekly report, Glassnode highlights that LTHs have increased their holdings by more than 250,000 BTC since March, raising the total supply held by this cohort to over 14 million BTC.
This trend indicates a growing confidence in the market, with accumulation pressures surpassing the inclination for investors to liquidate their holdings as stated by Glassnode.
Interestingly, while STHs often exhibit behavior contrary to that of LTHs, recent data shows they, too, have begun accumulating, adding over 25,000 BTC in the last week alone. This marks a significant turnaround from the net distribution of over 200,000 BTC that coincided with bitcoin’s 30% decline starting in February 2025.
Currently flirting with the $97,000 mark, the broad-based accumulation suggests a restoration of confidence among investors. However, it’s crucial to note that Glassnode identifies a key resistance level at $99,900. Here, long-term holders may become inclined to realize profits, given that they are holding a +350% unrealized profit margin.
Given this context, we can expect a potential uptick in sell-side pressure as BTC approaches this important threshold, indicating that substantial buy-side demand will be necessary to absorb the distribution and sustain upward momentum.
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