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Breaking News: Bitcoin Price Tumbles Toward $98,000: What’s Driving The Drop And What Lies Ahead
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Breaking News: Bitcoin Price Tumbles Toward $98,000: What’s Driving The Drop And What Lies Ahead

Bitcoin 90-Day CDD Hits All-Time Low, What Does It Say About Market?

Keshav Verma
Keshav Verma
Last Updated: June 11, 2024 10:19 am
3 mins read
Bitcoin

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Data shows the Bitcoin 90-day Coin Days Destroyed metric has hit an all-time low, here’s what it says about investors in the BTC market.

Bitcoin 90-Day CDD Has Recently Plunged To A New All-Time Low

As per the latest weekly report from Glassnode, old BTC supply is more dormant right now than it has ever been during the history of the crypto.

A “coin day” is defined as the amount accumulated by 1 BTC after sitting still for 1 day. The total coin days on the network, therefore, is a measure of how many days all the coins on the network combined have been stationary for, or more simply, how dormant the Bitcoin circulating supply has been.

When any of these coins with some accumulated coin days make some movement, their coin days naturally reset back to zero, and are said to have been “destroyed.”

Related Reading: Bitcoin Active Addresses Stay Low, A Hint That Demand Isn’t There Yet

The “Coin Days Destroyed” (CDD) indicator measures how many coin days are being destroyed in this way every day across the entire BTC network.

Now, here is a chart that shows the trend in the Bitcoin CDD over the history of the crypto:

Bitcoin 90-Day Coin Days Destroyed

The value of the metric seems to have gone down in recent days | Source: Glassnode's The Week Onchain - Week 39, 2022

As you can see in the above graph, the version of the Bitcoin CDD shown is actually the 90-day one, which measures the total amount of coin days that were destroyed during the last ninety days.

Since the long-term holders accumulate the most number of coin days in the market, spikes in the CDD can mean these older, and generally more resolute holders, have been spending their coins.

Related Reading: Bitcoin Shows Resilience In Dollar-Driven Bloodbath | BTCUSD September 26, 2022

The report notes that the 90-day version of the indicator can help us know about periods of high and low selling pressure from these hodlers.

From the graph, it’s apparent that the Bitcoin CDD has recently set a new all-time low, suggesting that old supply is right now the most dormant it has ever been.

This implies that the latest investor behavior in the BTC market has been that of extreme hodling at levels not observed during any of the previous cycles.

BTC Price

At the time of writing, Bitcoin’s price floats around $20.3k, up 7% in the last week. Over the past month, the crypto has gained 1% in value.

The below chart shows the trend in the price of the coin over the last five days.

Bitcoin Price Chart

Looks like the value of the crypto has surged up over the past twenty-four hours | Source: BTCUSD on TradingView
Featured image from Bastian Riccardi on Unsplash.com, charts from TradingView.com, Glassnode.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Read more

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

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