Less-Committed Supply

Definition ∞ Less-committed supply refers to a portion of a digital asset’s total circulation held by entities more likely to sell their holdings in the short term. These assets are often in the hands of recent buyers or speculative traders. This supply segment contrasts with long-term holdings, which are typically held with a stronger conviction. It represents potential selling pressure on the market.
Context ∞ Analysts frequently monitor the less-committed supply of cryptocurrencies to assess potential market downturns or selling events. News reports often reference changes in this metric as an indicator of short-term price direction. A reduction in this supply segment can signal increased market stability and a stronger holding sentiment among participants.