Bitcoin Zilla resumes holding despite increased spending by long-term holders

The inflow of Bitcoin Zilla shows a decline in sales activity as prices rise, as they decrease in Binance.
The Bitcoin realization cap rose 3%, up $30 billion in April, but below the highs reached in November and December.
Long-term BTC holder supply showed a second slight decline in May, indicating an increase in spending from this cohort.

Bitcoin (BTC) trades around $103,600, down 0.5% on Wednesday amid a decline in the general crypto market. Bitcoin jelly inflows have decreased, indicating a shift towards retention despite increased spending by long-term holders (LTH).

Bitcoin Zilla resumes holding resumes amid a decline in LTH supply

Bitcoin inflows from whales’ addresses regarding crypto exchange binance have experienced a consistent decline over the past month.

The exchange whale influx was $5 billion in April, coinciding with the start of Bitcoin price recovery. However, it plunged to $3 billion in May, reflecting a marked decline in the massive movement. The reduction in whale influx suggests a shift towards retention between this group.

Replace the flow from the BTC Binan Skudhale. Source: Cryptoquant

However, retail inflows rose from $12 billion to $15 billion over the same period, but are still below the level seen at previous market peaks.

According to GlassNode data, downticks in whales’ sales pressure rose 3% to match the growth of Bitcoin’s realisation cap, maintaining an increase of $30 billion in April.

BTC has made changes to the cap net position. Source: GlassNode

This trend suggests that Bitcoin buying activity has increased, contributing to recent price rebounds. However, the realized cap increase is below the aggressive accumulation observed in November and December, indicating that strong market momentum has not returned.

On the contrary, long-term holders’ supply fell slightly for the second time in May, reversing the upward trend that began in mid-March. This shift refers to an increase in spending activity within this cohort.

According to GlassNode, if this long-term holder behavioral change accelerates rapidly, it could serve as a top indicator of the potential local market. This trend continues could put downward pressure on Bitcoin.