Bitcoin’s great rotation: Long-term holders pass supply to a new generation of buyers

MarketsBitcoin’s great rotation: Long-term holders pass supply to a new generation of buyersLong-term holders are quietly transferring supply to a new generation of buyers, but looming Federal Reserve rate hikes could still trigger the capitulation markets have been waiting for.By James Van Straten|Edited by Oliver Knight Jul 14, 2026, 10:46 a.m. 2 min readMake preferred on ShareShare this articleCopy linkX iconX (Twitter)LinkedInFacebookEmailMake preferred on SummaryShowThe RHODL Ratio compares wealth held by long-term holders with that of newer investors. It recently reached 6.5, its second-highest reading on record.Bitcoin has consolidated between $60,000 and $80,000 for five months as the RHODL Ratio compresses without a major sell-off.Bitcoin is currently down roughly 50% from its October 2025 all-time high of approximately $124,000. Trading near $62,000, it has spent the past five months grinding sideways between $60,000 and $80,000, leaving the market in a state of apathy.But a closely watched onchain metric suggests this quiet period may be setting the stage for a significant move.Glassnode’s RHODL Ratio, which compares the wealth held by long-term holders with that of newer market participants, reached 6.5 in early July, its second-highest reading in Bitcoin’s history. It has since begun to decline and is now below 6. Crucially, this compression is occurring while the price stagnates, rather than collapses.In 2022, the ratio rolled over alongside a violent selloff. The collapse of FTX sent Bitcoin tumbling to around $15,000. The situation in 2026 looks different. Bitcoin continues to trade near $60,000, while coins change hands without signs of panic.This suggests a gradual transfer of supply from long-term holders, many of whom accumulated throughout 2023 and 2024, to a new cohort of buyers who view current prices as a discount.This trend can also be attributed to distribution, per Wyckoff's model, which sees astute sellers offload their holdings to ove…

Bitcoin’s great rotation: Long-term holders pass supply to a new generation of buyers

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