Despite Bitcoin (BTC) consistently losing value during the latter half of 2019, with the price dropping from $13,800 to as low as $6,000, the amount of Bitcoin (BTC) that is being HODLED has been steadily increasing.
Apparently 12.58 million Bitcoins (BTC) have been HODLED for more than a year. This represents nearly 70% of all existing Bitcoin (BTC), and has a value of nearly $100 billion.
This persistent increase in HODLING is certainly bullish, since it means less and less Bitcoin (BTC) is available on the market over time. This is equivalent to decreasing market supply, and according to the law of supply and demand this massive surge in Bitcoin (BTC) HODLING should lead to higher Bitcoin (BTC) prices.
Another way of looking at it is that at current Bitcoin (BTC) prices between $7,000 and $8,000 per coin, and even during the Bitcoin (BTC) rally in the summer of 2019 when Bitcoin (BTC) neared $14,000, a majority of investors were unwilling to sell their coins due to an expectation that Bitcoin’s (BTC) price would increase further in the future.
This lines up with trends in the Bitcoin (BTC) mining hash rate, with the hash rate recently hitting a new all-time high of 119 EH/s, indicating that miners were expanding their operations in order to accumulate more Bitcoin (BTC) likely in expectation of a future price increase.
Essentially, trends in HODLING and the mining hash rate indicate that both miners and investors expect the price of Bitcoin (BTC) to increase significantly in the future.