CryptoQuant analysts have recorded a sharp increase in activity among long-term Bitcoin holders. According to a study by an expert under the pseudonym nocoffeenobrain, investors have actively begun moving “old” coins, with a recent security incident involving the popular hardware wallet Ledger serving as a primary trigger.
Wallet Migration Following the Ledger Incident
Security remains the top priority for major cryptocurrency holders. Following the issues surrounding Ledger’s infrastructure, users began massively transferring their assets to new devices and generating fresh seed phrases to secure their funds.
CryptoQuant experts predict that this process of re-securing assets will cause Bitcoin’s seven-day moving average (7DMA) of on-chain activity to show a noticeable increase in the coming days.
Market Cycles and HODLER Behavior
Interestingly, the movement of coins aged 1 to 3 years and older began even before the Ledger events—in late September, when BTC rallied sharply from $75,000 to $85,000.
Analysts note that this investor behavior recurs consistently regardless of the market phase:
- January–February: A surge in activity across both cohorts occurred during a price drop from $90,000 to $65,000.
- July–August: Similar movement was recorded while the asset consolidated around $65,000.
- September–October: Another wave of transactions coincided with Bitcoin pushing toward new local highs.
Key Takeaway: On-chain movement of “old” coins does not necessarily indicate selling or profit-taking on exchanges. In most cases, these are internal transfers, portfolio rebalancing, or updates to storage methods.
Fundamental Indicators Remain Strong
Despite local price fluctuations and forced user migrations between wallets, overall demand for the flagship cryptocurrency continues to expand.
According to another CryptoQuant analyst known as Darkfost, cumulative demand for Bitcoin has returned to positive territory. Even amid market correction, net purchases in October surpassed 14,000 BTC, pointing to sustained strong interest from buyers.
