CandleFocus

Short-Term and Long-Term Bitcoin Holders Have Now Reduced Sell-Offs: Is a Rebound Imminent?

Author: Content Editor
Short-Term and Long-Term Bitcoin Holders Have Now Reduced Sell-Offs: Is a Rebound Imminent?
Bitcoin holders, both short-term and long-term, have shown confidence in the cryptocurrency by reducing sell-offs at a loss. This trend suggests a potential price rebound, with macroeconomic factors and institutions possibly driving growth. Glassnode analysis indicates that short-term holders have significantly reduced sell-offs at a loss, with the seven-day moving average dropping to align with the yearly average. Long-term holders remain unaffected by volatility and their reluctance to sell suggests confidence in Bitcoin's long-term growth. New Bitcoin whales who bought at the average realized price of $89,200 are unlikely to sell at a loss, contributing to market stability. Analysts believe that profit trends are more significant in this market cycle due to the low amount of Bitcoin sold at a loss. Additionally, potential liquidity boost from a U.S. Treasury General Account drawdown could inject liquidity into the economy and drive Bitcoin's price upward. Previous TGA drawdowns have resulted in significant Bitcoin rallies. Currently, Bitcoin trades at $95,896, and an 84% rally would push the price to $176,448, while a 23% increase would reach $117,952, both new all-time highs.

Related News