Bitcoin’s recent rally continues to draw attention from new participants. Over the past three months, wallets linked to short-term holders have gained 559,000 BTC.
The data, shared by CryptoQuant’s Axel Adler Jr., shows short-term holder supply rising from 4.38 million BTC to 4.94 million BTC.
New Wallet Growth Signals Fresh Demand
Meanwhile, the increase in supply held by short-term holders points to a steady flow of new buyers. The trend began after a low in mid‑2025 and has continued through a period of strong market prices.
Over the past quarter, short-term holders’ supply increased by 559K BTC, rising from a low of 4.38 million to 4.94 million BTC.
A significant volume of new buyers entered the market. pic.twitter.com/eW3UsLDWUg
— Axel
Adler Jr (@AxelAdlerJr) October 8, 2025
Bitcoin has been hanging around its previous peak. During this time, people who hold for a short period have been regularly buying more cryptocurrency. It is therefore implied that money is still being pumped into the market even at high price points. The rise in short‑term holdings often marks early‑stage buying that could later move into longer‑term positions if market conditions remain stable.
Exchange Activity Drops as Holding Rises
On-chain data from CryptoOnchain shows the Fund Flow Ratio has dropped to its lowest point since July 2023. This metric measures the proportion of the network’s transaction volume that is tied to exchanges. A lower ratio means fewer coins are being moved onto or off trading platforms.
Most transactions now occur off‑exchange. These include transfers to self‑custody wallets, large over‑the‑counter deals, or use in decentralized platforms. A large part of recent network activity appears to be for storage or strategic movement—not immediate sale.
The trend is also visible on Binance, the world’s biggest crypto exchange.
“The significant drop in Binance’s Fund Flow Ratio suggests that even the most active market participants are reducing their selling‑related activities,” the report noted.
Watch for Support Near $117K
Market analyst ZYN flagged the price zone between $120K and $121K as thin in terms of on‑chain support.
“Between $121K–$120K there isn’t much support, which means price can cut through quickly if selling picks up,” he wrote.
Just below that range, however, buyers appear more active. Around $117K, roughly 190,000 BTC were last acquired. According to ZYN, that range “is the kind of zone where demand usually shows up,” with buyers likely to defend their positions if prices dip.
Bitcoin was trading at around $121,400, down 2% in the last 24 hours. The 7‑day performance remains positive, up nearly 6%, with strong buying interest and lower selling pressure seen across the network. Trading volume over the last day reached $78.7 billion.