Bitcoin's long-term investors have resumed accumulation in a significant shift in market sentiment, despite recent price volatility that saw the cryptocurrency briefly plunge below $80,000. Data from on-chain analytics firm Glassnode shows the "Long-term holder net position change" metric has turned positive for the first time in 2025, indicating seasoned investors are capitalizing on lower prices to substantially increase their holdings.
This metric monitors Bitcoin moving into wallets that historically maintain positions for extended periods. The shift represents a notable reversal after three months of negative readings.
Long-term holders have added more than 167,000 BTC to their positions in the past month, an accumulation valued at approximately $14 billion at current prices. The buying surge comes after Bitcoin experienced a rapid sell-off earlier in March that drove prices from above $90,000 to approximately $80,000 in a matter of days. While the correction triggered widespread liquidations among short-term traders, established investors viewed the dip as a strategic buying opportunity.
"This pattern of long-term accumulation during price corrections aligns with behavior observed in previous market cycles," said a senior market analyst who requested anonymity due to company policy restrictions. "We saw similar accumulation patterns during the August-September 2024 price consolidation that eventually preceded new all-time highs."
The Glassnode data suggests much of the recent price volatility stemmed from panic selling among newer market participants rather than fundamental shifts in Bitcoin's long-term outlook. Experienced investors, often called "HODLers" in cryptocurrency circles, began aggressively purchasing Bitcoin while short-term market sentiment reached pessimistic extremes.
Additional market indicators reinforce the positive shift in investor outlook. After weeks of uncertainty, Bitcoin exchange-traded funds have begun recording substantial inflows again.
On March 17, spot Bitcoin ETFs collectively attracted approximately $274.6 million in new investment, marking the largest single-day inflow in 28 days. This momentum continued the following day with an additional $209 million entering these funds on March 18.
The three-day streak of positive fund flows represents the first sustained period of investment since February 18. Prior to this reversal, Bitcoin funds had experienced consecutive days of outflows, reflecting temporary investor hesitancy amid broader market uncertainty.
Institutional participation through regulated investment vehicles like ETFs often signals longer-term confidence in Bitcoin's fundamentals beyond short-term price fluctuations. Many analysts consider institutional demand a key factor in sustainable price appreciation.
At press time, Bitcoin trades at $83,500, having recovered approximately 4.4% from its recent low. The cryptocurrency remains 7.2% below its March peak despite the influx of long-term investment.
Market observers note that similar accumulation patterns have historically preceded significant price recoveries, though past performance does not guarantee future results.