Bitcoin Hodlers Are Creatures of Habit

[arvinabeabe]

Cryptocurrency attracts an eclectic mix of creatures. Bulls and bears notwithstanding, there appears to be a lot of squirrels, each in possession of acorns stashed in the cryptocurrency forest whose seeds are still taking root.

As much as 25% of all BTC is sitting in wallets that were created before the 2017 price peak and have yet to make any outgoing transactions. Diar estimates that a quarter of all BTC is taken up by long-term investments, while the lost and illiquid category (which includes unmined coins) constitutes 30% of the total pie.

Diar’s recent reckoning states that a majority of circulating bitcoins (55%) are sitting in wallets pegged above $1.3M at current prices. In fact, over 87% of bitcoins are tucked inside wallets that hold more than 10 BTC ($60K+). What’s remarkable is that these coins sit in only 0.7% of all bitcoin addresses. Similarly, wallets with over 100 coins ($640K+) that represent 62% of all outstanding bitcoins belong to under 0.1% of all addresses.