The recent data from the market shows alarming signs for Bitcoin long-term holders, as the numbers started to fall. Some analysts, like Glassnode, think this shift points to an upcoming end to the market rally. For the second time in May, those who hold positions over the long term seem to be disposing of some of their cryptos.

Key Takeaways:

• Bitcoin long-term holder supply has decreased for a second time in May, which Glassnode reports could mean a top in the market soon.
• Despite certain dangers in the technology, institutional investors are still putting their money into Bitcoin, as shown by the spot ETFs gaining $1.94 billion over the past month.
• Historically, a classic “double top” pattern has usually signaled a big decline in the Bitcoin long-term holder market.
• Reduced retail interest could bring temporary pullbacks, nonetheless, since institutional support suggests the price will not drop much.

What the Data Shows

Lately, the Bitcoin long-term holder supply went from 13.66 million as of mid-March to a record 14.29 million BTC. Wallets that have held Bitcoin for at least 155 days have been found to be accurate signals about the current market mood. Recent lower prices could show a major change in investment habits.

It is more worrying that the LTH metric, which measures coins again leaving long-term wallets, has reached 0.43. Many times, these high levels of spending have followed before markets reach their all-time highs. A Bitcoin long-term holder should be aware of these market signals because the market is very volatile.

Double Top Pattern Emerges

A number of analysts think Bitcoin might be forming the widely recognized “double top” pattern. A bottom one, as it has been reported, has ushered in the demise of prior bull cycles in Bitcoin. WhaleWire analyst Jacob King shared these thoughts with the wide group of his 520,000 social platform followers on X.

Bitcoin’s recent surge is completing a double top — a pattern that has occurred at 100% of its major market cycle peaks. It’s a clear signal: the bear market is beginning.

While retail sheep convince themselves that hovering above $100K is due to mythical institutional demand or… pic.twitter.com/1NpbFOuymF

— Jacob King (@JacobKinge) May 15, 2025

King thinks the current rally is not real but is kept alive by artificial influences. He mentions that the price of Bitcoin is upheld by trading from somebody with an interest in it and large inflows from Tether, and not by real interest from the market. His prediction that the high market could soon correct itself is getting attention.

Institutional Activity Remains Strong

Institutional investors still trust the crypto market, notwithstanding the listed concerns. Strategy has added more than 1.34 billion dollars in Bitcoin, resulting in almost 569,000 BTC in its portfolio. MetaLand from Japan, on the other hand, added 1,241 BTC to its Bitcoin holdings, making its total reservoir stand at 6,796 BTC.

In the last month, spot Bitcoin ETFs have seen a total of $1.94 billion being deposited. Just over 68% of the total Bitcoin supply is held by institutions, and big holders are currently not putting much pressure on the market by selling. Because many organizations are involved, it supports the idea that the value of Bitcoin is not going away anytime soon.

Despite a big drop in price earlier this year, Bitcoin has shown strong resistance. The price of the cryptocurrency rose from close to $94,000 on May 5 to $105,747 a week later on May 12. On the other hand, the differences between the signals from technical indicators and the actions of institutions in the market make the market environment more complex.

Conclusion: Bitcoin Long-Term Holder 

ETFs buying BTC every day and institutional buyers amassing their portfolios may give some support to the market. It is likely that the cryptocurrency is currently going through a period of consolidation as investors take profits. However, there is still hope for the future because institutions consistently support the industry. In the upcoming period, it is important for investors to closely analyze both on-chain activity and the flow of funds from institutions.