Bitcoin (BTC) prices have recovered from their lowest in over three months, which was promoted last week. Since then, it has grown from 76,000 US$87,000 US$, up 14%. However, it still falls 20% below the previous maximum of USD 109,000, which was reached two months ago.
this is, Demand has gained some strength, but it is not yet sufficient to recover active price records. In other words, capital is not sufficient to lead BTC to a higher contribution.
According to the On-Chain Glass Node Data Company, Liquidity terms are contracted in both markets spot (Cash) Same as future onescapital entries are slowing down. It also distinguishes that key metrics in options represent risk aversion and preference for downward positions.
“The decline in speculative activity in digital assets is clear, and investors are increasingly adopting a risk-rejection position,” the company says in the report on this point.
GlassNode highlights two diverse stories that can be seen between short-term and long-term investors in Bitcoin.
on the one hand, Short-term holders are experiencing significant pressure Having your holdings at a loss. These are at worse levels than most of the cycle prices that Bitcoin carries have fallen since the end of its last crypto winter in 2022, as shown below.
This situation encourages the group to act as a source of price impact. However, GlassNode distinguishes as a positive point that the level of sales is less severe than the bear cycle.
on the other hand, Long term holders, well known as Hoddlers, are mostly inactive,The next graphics reduces its costs significantly. In other words, they continue to have a “strong hand” without removing their holdings, which enhances lateral price action, GlassNode said.
Bitcoin continues to be adjusted in new price ranges
This scenario will allow the Bitcoin market to continue to adapt to the new price range after experiencing a 30% revision from the highest ever. This can be seen in the following graph:
For the analyst company, Hodler seems to escape from sales pressure and return to accumulation Patients and maintenance. The conclusion of his return to the demand sector contributes to the rise in Bitcoin, so it is key to observe whether this occurred and whether new investors were added.
Otherwise, prices may continue in the lateral direction or bassist period if on-demand demand increases in the face of increased risk aversion.
This scenario comes while the US stock market was also affected last month, given the fear of greater inflation that produced imports established by Trump. However, as Cryptonoticias reported, the Fed maintains forecasts for two interest rate cuts this year and contributes to improving emotions, so how the environment continues to develop will be important.
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