- Ethereum’s long-term holders surged from 59% to 75% in 2024, surpassing Bitcoin’s 62% decline from 70%.
- Ether ETF inflows doubled to $2.1 billion in December, signaling rising institutional confidence.
- Bitcoin’s price dropped to $93K, with projections eyeing a rebound surpassing $200K soon.
Recent data from IntoTheBlock highlights notable shifts in Bitcoin and Ethereum’s long-term holder trends throughout 2024. Ethereum’s long-term holders substantially increased, from 59% in January to 75% by December. Conversely, Bitcoin’s long-term holder percentage declined from 70% to 62%, marking a divergence in investor sentiment between the two assets.
The rise in Ethereum’s long-term holders reflects growing confidence in the asset heading into 2025. Experts suggest this upward trend indicates a maturing market driven by the success of Ethereum’s staking mechanisms and regulatory clarity. In contrast, Bitcoin’s decline hints at long-term holders taking profits amid volatile market conditions.
Ethereum Surges Amid Spot ETF Inflows and Market Optimism
December marked a record inflow into spot Ether ETFs, with investments doubling from $1 billion in November to $2.1 billion. The surge underscores the growing interest in Ethereum as a long-term investment. Analysts link this development to potential regulatory shifts and a favorable political climate under a prospective Trump administration.
The anticipated demise of “financial nihilism,” a revamped SEC, and the inclusion of staking options in Ether ETFs are expected to bolster Ethereum’s market position. These factors, coupled with robust inflows, suggest ETH is poised for significant growth as investors increasingly view it as a sustainable and promising asset.
Bitcoin’s price dropped sharply from its all-time high of $106,000 to $93,000 in December. Technical analyst Ger Van Lagen attributed this decline to long-term holders cashing out amidst market euphoria. Despite this setback, Van Lagen remains optimistic, predicting Bitcoin could soon exceed $200,000.
Crypto Market Dynamics: BTC and ETH
Ethereum’s growing dominance aligns with market speculation on regulatory shifts, particularly under a possible Trump administration. Experts foresee benefits such as an SEC overhaul, stronger CFTC oversight, and the inclusion of staking options in Ether ETFs. These developments could bolster ETH’s position as a leading digital asset.
Bitcoin’s decline in long-term holder percentages raises questions about its short-term market dynamics. However, many investors still view Bitcoin as a robust store of value with potential for substantial future gains. Ethereum’s increasing adoption and institutional backing suggests its trajectory may redefine crypto market leadership.
As 2025 approaches, these trends mark a pivotal moment for both assets. ETH’s surge in long-term holdings signifies confidence in its ecosystem, while Bitcoin’s adjustments reflect evolving investor strategies. The data underscores a transformative phase for the cryptocurrency market, setting the stage for potential breakthroughs in the coming year.
Read Also: Ethereum (ETH) Holds Above Support, Ready for $4K Breakthrough
