According to Glassnode, Bitcoin (BTC), if it continues its downward trend, could reach the area below $88,000. It would then resume its climb towards $100,000. Reportage.
This report highlighted an important issue. “air gap,” as BTC’s rapid rally has left minimal trading activity between $76,000 and $88,000, creating an underdeveloped price range that could draw market focus if the current pullback persists.
But this is a normal price move during the price discovery phase, where there are often cycles of corrections, rallies, and price consolidations. Observing supply distribution during price discovery phases is fundamental to revealing supply and demand zones that could affect Bitcoin’s trajectory.
The report highlighted the importance of LTHs as Bitcoin moves through price discovery terrain. They are a key component in bringing previously stagnant supply back into circulation. Although the $100,000 threshold is within reach, a reaccumulation phase may be required to allow the market time to absorb profit-taking and maintain upward momentum.
The Parallels to March
The current rally mirrors patterns seen during the March rally when significant supply re-accumulation at lower levels supported Bitcoin’s ascent to a new high.
LTHs, who are a major driver behind the Bitcoin price increase, have seen record profits due to increased liquidity. This group has received approximately 507,000 BTC since September. Profit-taking rates have exceeded those seen in March.
Glassnode’s LTH Liveliness metric indicates heightened spending activity, signaling that most distributed coins were acquired relatively recently rather than being held for years.
LTHs currently realize $2,02 billion per day, which is a new daily record. A robust demand will be required to absorb supply redistribution.
The report also warns that further consolidation is necessary to keep the balance on the market.
Sell-side forces
The Sell-Side Risk Ratio, which measures realized profit and loss volumes against the market’s size, is nearing high-value territory, indicating intensified profit-taking.
The report also noted that current sales pressure is not as high as it was in previous bull markets. This suggests that there’s still enough demand to offset the decline.
The document revealed, by analyzing the current supply of coins, that the majority of them are aged between 6 months and 1 year. They account for approximately 35.3%, of the total profit realized.
This coin, which was likely collected after the ETF launch, suggests that investors used a “swing-trade”Strategy to capitalise on the recent momentum in the market.
The profit-taking across the various percentage brackets is also uniform, with real gains between $7.2 and $13.1 Billion. This consistency highlights an overall strategic approach. “chips-off-the-table”Investors with low cost bases can still make profits and maintain long-term investment.
Bitcoin Market Data
Press release The time on November 27, 2024 is 12:27 AM UTC.Bitcoin’s market capitalization is the highest in the world. Downward 1.62% Over the last 24 hours. Bitcoin is valued at $ 1.83 Trillion With a daily trading volume of $90.48 billion. Learn more about Bitcoin ›
Bitcoin
The time on November 27, 2024 is 12:27 AM UTC.
$92,288.48
-1.62% Crypto Market Overview
Press release The time on November 27, 2024 is 12:27 AM UTC.The total market value of crypto is at 3.18 trillion Dollars A 24-hour volume is 222 82 Billion Dollars. Bitcoin is the dominant currency at this time. 57.37%. Learn more about the crypto market ›
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