> For the complete documentation index, see [llms.txt](https://docs.blockhorizon.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.blockhorizon.io/chart-tutorials/supply/supply-last-active-1y-2y.md).

# Supply Last Active 1y-2y

## Supply Last Active 1y-2y Indicator 

The Supply Last Active 1y-2y indicator measures the amount or percentage of BTC circulating supply that has been active (moved or transacted) within the past one to two years. This metric provides insights into medium- to long-term holder behavior, market trends, and participant engagement.

## Steps to Use the Supply Last Active 1y-2y Indicator 

1\. Understand the Concept: 

• Medium- to Long-Term Active Supply: Represents the portion of the circulating supply that was active between one and two years ago. 

• Relevance: Reflects the behavior of holders who maintain a medium- to long-term investment horizon, offering insights into market confidence and stability. 

2\. Interpret the Supply Last Active 1y-2y Indicator: 

• High Percentage: Indicates a significant portion of the supply has not moved for over a year, signaling strong holder confidence or reduced market activity. 

• Low Percentage: Suggests higher turnover in this timeframe, reflecting increased market activity or changes in sentiment. 

• Trends Over Time: Analyze shifts in activity to understand the balance between long-term holding and market engagement. 

3\. Analyze Historical Patterns: 

• Bull Markets: Medium- to long-term holders may start realizing profits, leading to a decrease in supply last active 1y-2y. 

• Bear Markets: An increasing percentage often reflects accumulation and long-term confidence in the asset. 

• Market Cycles: Changes in this metric often align with key phases of accumulation, distribution, and consolidation.

4\. Make Decisions: 

• During High Percentages: Monitor for signs of long-term confidence or reduced market activity, which may precede accumulation phases. 

• During Low Percentages: Evaluate potential market volatility or distribution by medium- to long-term holders. 

• Validate Sentiment Shifts: Use this metric alongside other indicators to confirm changes in market sentiment and activity.

## Tips: 

• Combine with Long-Term Holder Metrics: Use alongside other indicators like long-term holder supply and realized cap for a holistic analysis. 

• Monitor Cyclical Trends: Pay attention to increases or decreases in this metric during market transitions. 

• Use Historical Comparisons: Compare current activity levels with historical data to identify recurring patterns and signals. 

• Contextualize with Market Conditions: Consider external factors such as macroeconomic trends or major network developments.

## How to Use the Indicator Effectively

* Assess Long-Term Confidence: Use high levels of 1y-2y activity to gauge long-term holder behavior and market sentiment.
* Identify Market Phases: Monitor changes in activity to detect accumulation, distribution, or stabilization phases.
* Support Investment Strategies: Incorporate insights from this metric into long-term portfolio planning and market analysis.

## Created By: This indicator is a widely recognized tool in blockchain analytics.