Bitcoin Dormancy

Understanding Dormancy

The Dormancy chart shows the average age, in days, of the bitcoin moved on-chain over a trailing 24 hour window. It is coin days destroyed divided by the transfer volume in BTC. The chart plots it for all holders and for long-term and short-term holders separately.

How It Works

Each spent output destroys the coin days it accumulated while it sat unspent. Dividing the day's coin days destroyed by the bitcoin moved gives the mean age of those coins. When the day has no transfer volume the value is zero.

How to Read It

High dormancy means long-held coins are being spent. Low dormancy means recently created coins are doing most of the moving. Long-term holders hold outputs at least 150 days old, so their line cannot fall below 150 days on a day with transfers, and short-term holder dormancy stays under 150 days. A rise in the all-holders line without a rise in the long-term line points to more young coins in motion.