CryptoQuant: Bitcoin hoarding addresses increased their holdings by more than 225,000 BTC in December, a monthly increase of 82.6%

According to CryptoQuant, demand from Bitcoin hoarding addresses increased dramatically in December, with these investors netting 225,280 BTC as of Dec. 23, a monthly increase of 82.6%. On the other hand, total sell-side liquidity (the amount of Bitcoin available for sale on exchanges and ETFs) fell by about 590,000 BTC during the same period. Notably, this drop in selling pressure correlates with a sharp contraction between Dec. 22 and Dec. 23, when the amount of Bitcoin available for sale fell by 520,000 BTC. According to the report, supply at over-the-counter (OTC) desks, which handle large trades, fell from more than 421,000 BTC to 403,000 BTC, suggesting that investor demand will continue to absorb selling pressure. In addition, the liquidity-to-stock ratio, a measure of how quickly current supply meets investor demand, fell from 12 months to 5.5 months in December. CryptoQuant data also shows that Bitcoin whale addresses holding more than 1,000 BTC have sold nearly 8,600 BTC this month as of December 23. However, new investors are absorbing this supply, with the number of short-term holders increasing by 3% in the past week, hoarding 641,789 BTC in the past year, bringing their total holdings to 3.81 million BTC, just 70,000 BTC below the all-time high set on December 15.