Despite the market downturn and the widespread negative sentiment in the industry in the wake of the FTX collapse, on-chain data still show reasons to be bullish on Bitcoin (BTC). 

As pointed out by on-chain analyst Will Clemente, it’s enough to look at the positions of long-term holders, which reached an all-time high despite their profitability being at an all-time low.

“Long-term holders buy heavily into the bear market. They set the floor, […] and then those long-term holders distribute their holdings to new market participants in the bull market,” he told Cointelegraph in an exclusive interview.

Another positive trend worth noticing after the FTX collapse, in Clemente’s opinion, is that the average crypto user is increasingly turning away from exchanges and taking self-custody of their own coins. 

According to Clemente’s analysis, that can be seen in the increasing outflow of capital from exchanges to self-custody wallets and also in the increasing amount of supply held by entities holding between 0.1 and 1 BTC. 

“By combining those two metrics, you get this picture of coins coming off exchanges into these custodial wallets for the average everyday retail person. And so, I think that’s very positive,” he said. 

To find out more about the silver lining in the aftermath of the FTX collapse, check out the full interview, and don’t forget to subscribe!