Indicator Overview

The indicator is Average Spent Output Lifespan (ASOL). It measures the average lifespan (in days) of all Unspent Transaction Outputs (UTXOs) spent on the Bitcoin network within the last 24 hours. Essentially, it tracks the age of the coins that are being moved on a given day.

How To Use

ASOL is a key on-chain indicator for gauging the activity of long-term holders and identifying market cycles.

High ASOL Readings occur when old coins (coins that haven't moved for a long time) are being spent. This typically happens during market peaks when long-term holders decide to realise profits, indicating a major distribution event.

Low ASOL Readings occur when young coins (recently bought/moved coins) dominate the spent transaction volume. This is common during market bottoms (long-term holders are dormant) or during periods of low activity, as old hands hold onto their supply, or during periods of consolidation/accumulation.