Bitcoin’s illiquid supply has reached a record 14.3 million BTC, comprising over 72% of the circulating supply, according to recent data. This surge reflects a significant trend among long-term holders (LTHs) and institutional investors, as they choose to retain their assets rather than sell them. The number of coins held for over seven years has increased by more than 422,430 since the beginning of the year. Furthermore, major investors, or whales, are accumulating BTC at a rate nearly 300% of the new supply being mined. Exchanges are experiencing profound outflows, indicating a shift towards self-custody and long-term investments. Asset management firm Fidelity estimates that by 2025, LTHs and corporate treasuries could hold over 6 million BTC, further tightening supply. This consolidation of supply into the hands of significant players suggests a growing conviction in Bitcoin's long-term value, although this article does not provide investment advice or recommendations.

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