$BTC held on OTC Desks has been in constant decline through 2021, even as miners distributed coins.

2021 Institutional demand absorbed more supply than available and recently, miners have returned to steady accumulation.

Read more in The Week On-chain

#Ethereum DeFi has expanded at an incredible pace, absorbing over $100B in liquidity in under 12 months.

In this analysis, we assess the key on-chain metrics which track and quantify the explosive growth, and stickiness of DeFi.

Read our latest report on The State of DeFi

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#Bitcoin mining difficulty has increased by 21.5% today.

It is the largest positive difficulty adjustment in almost 7 years.

Live Chart | @glassnode

#Bitcoin supply held by Long Term Holders has returned to accumulation mode

Whilst it looks similar to the 2017 peak, HODLers today actually hold +8% more of the circulating supply in dormant wallets.

Dormant supply increases, even as price dips.

Live Chart | @glassnode

As Elon Musk reverses his #Bitcoin sentiment, we observe new entrants panic selling and hodlers stepping in to buy the dip.

This is a historically significant correction that is testing $BTC hodler conviction.

Read more in The Week On-chain

As crypto markets experience downside volatility, the demand for stablecoins increases.

A key feature of the burgeoning #DeFi ecosystem is the opportunity to deploy stablecoins into yield producing protocols.

Read our analysis on opportunities to generate yield on stablecoin collateral here

This #Bitcoin sell-off is historic in the magnitude of losses realised by short term holders.

STH-SOPR has only dipped this low on three occasions since 2015:
- Feb 2018 start of bear market
- Nov 2018 bear capitulation
- Mar 2020 COVID sell-off

Live Chart

#Bitcoin on-chain transaction fee dominance for deposits to exchanges reached a new ATH during yesterdays sell-off.

Over 18% of all on-chain transaction fees were associated with deposits, eclipsing the top of 14% set in 2017.

This highlights the urgency felt by coin holders as they reacted to market volatility.

Live Chart | @glassnode

Stablecoin Supply Ratio hits an All-Time-Low of 8.54.

This means the #Bitcoin Market Cap is 8.54x larger than the global supply of stablecoins.

ATL SSR values indicates that the purchasing power of crypto-native dollars is at a relative ATH.

Live Chart | @glassnode

Demand for the top stablecoins $USDT, $USDC and $DAI pushed prices noticeably above the $1 peg in the month before the Coinbase listing.

This may suggest there was distribution and a strong demand for exit liquidity to 'sell the news'.

Live Chart | @glassnode

This weeks correction has resulted in a substantial deleveraging of futures markets.

Over $7.5B in #Bitcoin open interest was cleared within a few hours, bringing total open interest back to levels last seen in early February.

Live chart | @glassnode

#Bitcoin has experienced a tremendous deleveraging, with prices falling over 50%, and on-chain entities taking historically large losses.

We analyse:
- Magnitude of Losses
- Cross Section of Sellers
- Market Deleveraging

Read more in The Week On-chain

The Grayscale $GBTC Discount has risen from a peak low of -21.23% to a smaller discount of -3.8%.

$GBTC has sustained a discount to spot #Bitcoin prices for 3 months. Positive price momentum started on May 12, early in the current correction.

Live Chart | @glassnode

#Bitcoin Net Unrealized Profit and Loss is a macro cycle oscillator which tracks the magnitude of profit held in $BTC.

The market is currently testing a NUPL value of 0.5 which is typical for deep bull cycle corrections.

Read More in The Week On-chain

The #DeFi ecosystem was put to the test last week, as collateral value fell, gas prices spiked, and demand for stablecoins increased.

In this piece we analyse the resilience of #DeFi protocols, and the response of the market to a rapid 50% price mark-down.

Read our Analysis here and Sign-up here for more DeFi related insights.

As #Bitcoin price falls, the supply of the big three stablecoins $USDT, $USDC and $DAI have continued up and to the right.

During this sell-off, stablecoins have grown by:
$USDT up $14.2B
$USDC up $9.72B
$DAI up $1.22B

Flight to safety? or dry powder?
Live Chart

After one of the most dramatic sell-offs in #Bitcoin history, the conviction of investors has been put to the test.

In this piece we assess:
- Market structure leading into the crash
- Bull and Bear cases of various metrics
- BTC holder sentiment on-chain

Read our analysis here.

The #Bitcoin market currently has three supply trends in play:

- Short Term Holders are distributing.
- Long Term Holders are HODLing/Accumulating.
- Miners are Accumulating.

The $BTC market is a battleground between the bulls and the bears.

Live Chart

The #Bitcoin market consolidates after selling-off last week, as investors demonstrate unique spending behaviours on-chain.

We Assess
- Market pain points
- Spending patterns on-chain
- Analysis of sellers and hodlers

Read more in The Week On-chain

Our threshold for #Bitcoin Long-Term Holders are coins dormant for > 5-months.

At current prices, LTHs who accumulated in late-Dec to early-Jan are approaching their cost basis.

This will test the conviction of the market.

Read more in The Week On-chain

The DeFi ecosystem is constantly expanding with new ideas, innovations and protocol designs.

This week we explore and assess a suite of experimental lending platforms, with a focus on protocol design, risks and opportunities

Read our analysis and subscribe for more DeFi insights