Bitcoin coins held for years by long-term investors are awakening and heading back to exchanges. Data from CryptoQuant reveals Coinbase has seen a dramatic surge in Bitcoin inflows aged three to seven years.
Specifically, inflows of coins held for three to five years jumped by 595%, while those aged five to seven years soared over 1,000%, signaling a massive return of previously inactive supply. A single transfer of 3,848 BTC, worth roughly $242 million, was spotted, underscoring the scale of these movements.
This renewed activity from long-time holders can potentially flood the market, creating pressure on Bitcoin's price. Yet, moving coins to exchanges doesn’t always mean an immediate sale.
Meanwhile, demand from U.S. buyers appears weak. The Coinbase Premium Index, which tracks the price difference between Coinbase and offshore exchanges like Binance, remains near or below zero. This suggests major U.S. institutions and large spot investors are not stepping up buying, failing to sustain a premium price on Coinbase.
The combination of increasing supply from dormant holders and subdued U.S. demand may challenge Bitcoin’s ability to hold recent gains near $63,000. Historically, such patterns often precede short-term volatility.
This content is informational and not financial advice.
