A new report from blockchain analysis firm Glassnode has revealed that Ethereum investors are less willing to hold onto their coins than Bitcoin holders. While BTC is still held by the crypto market’s “real diamond hands” thanks to its low volatility, ETH is moved and spent at a much higher rate, according to the report. Glassnode stated that it made these findings using data collected before the cryptocurrency crash earlier this week. The company argued that Bitcoin acts as a “digital savings asset” while Ethereum, due to its broad range of uses, qualifies as “digital oil.” The report claimed that BTC is significantly less mobile and is being held by investors for long-term safekeeping: “Bitcoin is behaving as a digital savings asset, as designed; coins are widely hoarded, turnover is low, and supply is increasingly directed to long-term storage rather than exchanges.” On the Ethereum side, the picture is quite different. ETH is much more actively used due to smart contracts, DeFi protocols, tokenization, and gas fees: “Ethereum's behavior reflects its nature as a smart contract platform with high transaction volume. There's a large base of native staking, and the investor component has been further strengthened by the introduction of ETFs.” Related News: Billionaire Investor Ron Baron Says “Inflation Halves the Value of Money in 15 Years,” Shares His Thoughts on Bitcoin Glassnode noted that smart contracts, in particular, have significantly increased ETH usage. ETH is spent as gas fees across a wide range of use cases, from DeFi transactions to stablecoin transfers to decentralized exchange token swaps. One of the report's notable findings was the long-term coin movement. According to the data: “Long-term ETH holders are mobilizing their coins 3x faster than BTC holders.” Although ETH is not as passive an asset as Bitcoin, Glassnode noted that the store of value aspect of Ethereum should not be completely ignored: “One in four ETH in circulation is locked in native staking or ETFs.” *This is not investment advice. Continue Reading: Significant Difference Between Bitcoin Investors and Ethereum Investors Emerged This Week – Here’s What It Is
