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Per the exchange, Bitcoin purchases by algorithmic stablecoin issuers could potentially offset the supply that the Mt. Gox compensation will have and compared it to the On-chain data shows the Bitcoin Illiquid Supply has shot up to a new all-time high (ATH) recently. Here’s what this could mean for the asset. In a new post on X, analyst James Van Straten Crypto trader Carl Martin believes that Bitcoin (BTC) may be getting ready for a monumental move because the current price correction may be a temporary pullback before What the blockchain data reveals is the illiquid supply of Bitcoin. Bitcoin has taken a large dip of nearly 50% in May 2025 from its ATH ($64,500 in April 2025). As Bitcoin 4 de sept. de 2025 Almost three-quarters of bitcoin produced is considered illiquid, a record level that suggests increasing scarcity of the cryptocurrency in the market and a potential bullish 7 de sept. de 2025 The cryptocurrency market was recently marked by important news: illiquid entities now hold a record 74% of Bitcoin’s circulating supply. This information, revealed by “If this trend were to persist, bitcoin's supply would become increasingly illiquid, setting the stage for a supply squeeze and consequently a potential sharp rise in Liquidity is one of the most important factors in trading in cryptocurrenciesso what does it mean when a market is illiquid? What Factors Impact the Liquidity of Cryptocurrencies? The notorious supply shock that some investors were afraid of and some awaited just came closer as the illiquid supply shock ratio has been moving up in a sharp

122,000 Bitcoin Became Illiquid in March: What Does It Mean for the Price?

The cryptocurrency market is buzzing with a significant development: a large amount of Bitcoin, specifically 122,000 BTC, has become illiquid. What does this mean for the price of Bitcoin, and should you be concerned? Let's delve into the details. Understanding Bitcoin Illiquidity Liquidity is crucial in crypto trading. What does it mean when Bitcoin becomes illiquid? Simply put, it means these Bitcoins are being held in wallets with little to no history of spending or trading. This effectively removes them from the actively circulating supply. On-chain data shows the Bitcoin Illiquid Supply has shot up to a new all-time high (ATH) recently. Here’s what this could mean for the asset. Almost three-quarters of bitcoin produced is considered illiquid, a record level that suggests increasing scarcity of the cryptocurrency in the market and a potential bullish signal. In fact, illiquid entities now hold a record 74% of Bitcoin’s circulating supply. The Impact of Illiquidity on Price The decrease in readily available Bitcoin supply can have a significant impact on price. “If this trend were to persist, bitcoin's supply would become increasingly illiquid, setting the stage for a supply squeeze and consequently a potential sharp rise in [price].” This is because increased demand will be competing for a smaller pool of available Bitcoin. The notorious supply shock that some investors were afraid of and some awaited just came closer as the illiquid supply shock ratio has been moving up in a sharp. What the blockchain data reveals is the illiquid supply of Bitcoin. Potential Offsetting Factors While the illiquidity of 122,000 Bitcoin is undoubtedly bullish, other factors could potentially offset this effect. Per the exchange, Bitcoin purchases by algorithmic stablecoin issuers could potentially offset the supply that the Mt. Gox compensation will have and compared it to. The Mt. Gox payouts, for example, could introduce a significant amount of Bitcoin back into circulation, potentially tempering any price surge due to illiquidity. Recent Market Trends and Expert Opinions It's important to consider the current market context. Bitcoin has taken a large dip of nearly 50% in May 2025 from its ATH ($64,500 in April 2025). In a new post on X, analyst James Van Straten Crypto trader Carl Martin believes that Bitcoin (BTC) may be getting ready for a monumental move because the current price correction may be a temporary pullback before. Bitcoin 4 de sept. de 2025 and Bitcoin 7 de sept. de 2025. What Factors Impact the Liquidity of Cryptocurrencies? Several factors contribute to cryptocurrency liquidity, including exchange volume, market capitalization, and overall market sentiment. Understanding these factors is crucial for navigating the volatile crypto landscape. Conclusion: A Potential Bullish Signal, But Caution is Key The illiquidity of a significant portion of Bitcoin supply is generally considered a bullish indicator, suggesting a potential supply squeeze and price appreciation. However, external factors and overall market conditions need to be carefully monitored.

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