To The Moon

ARK Invest’s recentreportanalyzing Bitcoin buyers' and sellers' behavior concludes that investors have a longer-term conviction and focus when it comes to the leading cryptocurrency.

What Happened:Yassine Elmandjra, an analyst at ARK, examined a few key metrics based on on-chain data to monitor the behavior  of buyers and sellers.

“From these metrics, we can derive relative valuation metrics that identify short-to mid-term inefficiencies in bitcoin’s price,” he said.

From an increase in the cointime destroyed metric, which examines the time-weighted turnover of Bitcoin, one can ascertain if holders are moving their coins out of long-term storage and taking profits.

“At slightly above 5 billion today, coinyears destroyed, the rolling sum of coindays destroyed during the last 365 days, we believe depicts a healthy bull market,” said Elmandjra.

Despite Bitcoin’s price being more than triple its 2017 high, its coinyears destroyed is still significantly below its all-time high in early 2018 when investors cashed out after the price crashed.

Elmandjra also analyzed Bitcoin’s “HODL waves,” which divides the total circulating supply of the Bitcoin network into holding period bands.

“Today, roughly 55% of bitcoin’s supply hasn’t moved in more than a year, we believe illustrating investors’ longer-term conviction and focus,” noted the ARK analyst.

The amount of Bitcoin’s supply that is in profit is also nearing an all-time high, according to these on-chain metrics, which analysts view as another positive indicator for the current bull market.

Price Action:Bitcoin price had regained momentum and broke $63,000 fr the first time in history. The cryptocurrency was up over 3.62% in the past 24-hours, and trading volume was up by over 16% for the same period.