Veteran Selling

Definition ∞ Veteran selling refers to the act of long-term holders of an asset liquidating a portion or all of their holdings, often after significant price appreciation. These “veteran” investors typically acquired assets at much lower prices and are realizing profits. Their selling activity can introduce substantial supply into the market, potentially leading to price corrections or sustained downward pressure. This behavior is distinct from panic selling by newer market entrants.
Context ∞ In cryptocurrency markets, veteran selling, particularly by early Bitcoin or Ethereum holders, is a closely watched on-chain metric. News reports often analyze movements of dormant wallets or large block sales by these long-term investors to gauge market sentiment and potential supply shocks. Significant veteran selling can signal a market top or a period of consolidation.