The post Dormant Coins Reactivate as Investment Age Drops appeared on BitcoinEthereumNews.com.

Dormant cryptocurrencies are re-entering circulation at a rapid pace, providing a strong signal that the long-term bull market remains intact. The Mean Dollar Invested Age (MDIA), a key but often overlooked metric, reveals that Bitcoin (BTC), XRP, and Dogecoin (DOGE) are experiencing increased network activity despite recent market retracements. This trend may herald continued bullish momentum for these assets. 📊 One of the most overlooked metrics in crypto, Mean Dollar Invested Age is flashing a bullish signal despite the market-wide retrace this week. The Mean Age of investment for: 🪙 BTC is 439 days (31% younger in 60 weeks)🪙 XRP is 865 days (22% younger in 14 weeks)🪙 DOGE is… pic.twitter.com/iTCC5wWA0S — Santiment (@santimentfeed) December 11, 2024 The Mean Dollar Invested Age measures the average age of dollars invested in a cryptocurrency. A decline in this metric indicates that long-dormant coins are moving back into circulation. This movement is typically seen as a sign of increased network activity and market confidence. Historically, bull markets have been associated with declining MDIA, while rising MDIA has often coincided with bearish trends. Currently, Bitcoin, XRP, and Dogecoin are all exhibiting significant MDIA declines. Bitcoin’s MDIA is now 439 days, down 31% over the past 60 weeks. XRP’s MDIA has dropped to 865 days, representing a 22% reduction in just 14 weeks. Dogecoin, on the other hand, has seen the sharpest decline, with its MDIA decreasing by 31% in only eight weeks, bringing it to 370 days. Dormant Wallets and Market Activity Dormant wallets, which often belong to long-term holders or “whales,” are reactivating at an accelerating pace. These wallets play a crucial role in shaping market dynamics, as their activity can significantly impact liquidity and price movement. The declining MDIA suggests that these key stakeholders are circulating their holdings once again, increasing overall…

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Filed under: News - @ December 12, 2024 8:24 am