Strong Holding Pattern

Definition ∞ A Strong Holding Pattern describes a market condition where a significant portion of an asset’s supply is held by investors who are not actively selling. This pattern indicates high conviction among holders, often resulting in reduced selling pressure and potential price stability or appreciation. It is a bullish indicator in asset markets.
Context ∞ In crypto news, a Strong Holding Pattern is frequently observed through on-chain analytics that track the movement of digital assets, particularly those held in cold storage or by long-term addresses. A critical factor contributing to this pattern is the belief in an asset’s future value proposition and its fundamental utility. This behavior often precedes periods of significant price appreciation due to supply scarcity.