Recent on-chain data indicates that Bitcoin long-term holder outflows have been decreasing, suggesting that selling pressure may be easing. In a new X post, analytics firm Glassnode discussed the latest trend in netflow for Bitcoin long-term holders (LTHs), who are defined as investors holding their coins for more than 155 days.
Statistically, the longer investors hold their coins, the less likely they are to sell. As a result, LTHs are often seen as the market’s most steadfast participants. However, over the past few years, even these patient holders have gone through several phases of selling.
The chart shared by Glassnode shows the monthly netflow trend for Bitcoin LTHs. It reveals that LTHs experienced net outflows during both of 2024’s bull rallies, indicating that even long-term holders took profits during those surges. Another brief selling phase occurred in mid-2025, followed by a short period of net inflows, and then another wave of distribution in late 2025.
This latest distribution phase is still ongoing, with monthly netflow remaining negative. However, it differs from the previous three selloffs because it has taken place amid bearish momentum in Bitcoin’s price, rather than during a price increase.
While distribution continues, its intensity has recently diminished as the netflow for Bitcoin LTHs becomes less negative. Glassnode explains that net outflows have retreated from extreme levels, suggesting the market is gradually absorbing long-held supply and that a significant portion of overhead supply may now be depleted.
This decline in net outflows coincides with a drop in the Realized Profit for this group, as noted in another X post from Glassnode. The Realized Profit metric tracks the total profit LTHs are securing through their transactions. The chart shows that profit-taking was elevated earlier but has recently fallen to low levels.
Glassnode added that such conditions often reflect heightened uncertainty and typically arise during mid-bull market pauses or the early stages of deeper bear markets.
At the time of writing, Bitcoin is trading around $91,800, down nearly 3% over the past week.
Frequently Asked Questions
FAQs Bitcoin LongTerm Holder Selloff Declining Outflows
Beginner Questions
1 What is a LongTerm Holder of Bitcoin
A LongTerm Holder is typically defined as a wallet address that has held its Bitcoin for at least 155 days without moving it They are often seen as more committed investors less likely to react to shortterm price swings
2 What does selloff or outflows mean in this context
A selloff refers to these longterm holders selling a significant amount of their Bitcoin Outflows is a metric that tracks when Bitcoin is moved from these longterm wallets to exchanges or other destinations
3 Why is it important if longterm holders stop selling
Longterm holders are often considered the smart money or bedrock of the market When they stop selling it suggests they believe prices are at or near a bottom which can reduce selling pressure and help stabilize or increase the price
4 How do we know their outflows are declining
Blockchain analysis firms track wallet activity They can see when coins that have been dormant for over 155 days are suddenly moved A decline in this movement suggests fewer longterm holders are sending coins to sell
5 Does this mean the Bitcoin price will go up now
Not necessarily but its a positive signal Declining LTH selling removes a major source of market supply For the price to rise sustainably it also needs increased buying demand from new investors or institutions
Advanced Practical Questions
6 What usually causes longterm holders to start selling
They often sell to take profits after major price rallies or during periods of extreme fearcapitulation to cut losses They may also sell to realize capital gains or due to changes in macroeconomic outlook
7 What other metrics should I watch alongside LTH outflows
Exchange InflowsOutflows Are coins moving to or from exchanges
ShortTerm Holder Cost Basis The average price recent buyers paid
MVRV Ratio Indicates if the market is overundervalued