26K Bitcoin Exchange Inflow: Profit-Taking Concerns
Over the past week, Bitcoin (BTC) experienced significant price gains, leading to increased profitability for short-term holders (STHs).
Short-Term Holder Selling Pressure
This profitability has triggered a wave of profit-taking, with STHs selling off their Bitcoin holdings. Key indicators confirm this trend:
- Demand Momentum: Dropped to -480k BTC, indicating heavier selling from STHs than long-term holders (LTHs).
- Exchange Inflow: Over 26,000 BTC flowed into exchanges in 24 hours, primarily from STHs holding Bitcoin for less than a month. This trend has persisted for a week.
- Spot Volume Delta: Flipped deeply negative, with a 7-day simple moving average (SMA) of -301 million, suggesting significant sell-side pressure.
- Profit-Taker RSI (7D): Spiked to 82, signaling heightened realized profits and intensified selling pressure.
Data from CryptoQuant and Glassnode supports these observations.
Impact on Bitcoin Price
The current market situation presents a clear divergence: STHs are actively selling, while LTHs remain relatively inactive. This suggests a period of consolidation, with Bitcoin potentially trading between $92,000 and $95,000. A sustained break above $96,000 requires a significant reduction in STH selling pressure.
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