A report by ARK Invest shows that the supply of Bitcoin held by long-term conviction buyers surged 69% in Q1, rising from 2.13 million to 3.60 million BTC.
This strong accumulation occurred despite a 22% price decline during the same period, indicating that large investors used the dip to build positions rather than exit.
Historically, this pattern reflects supply moving into strong hands, which can set the stage for a potential bullish phase as tradable supply tightens.