Takeaways from the conference:
-
Bitcoin short-term holders have lost 20,000 BTC since Sunday.
-
The technicals indicate that pushing Bitcoin’s price under $100,000 may be difficult for bears.
BitcoinBTCInvestors and traders have reevaluated risks in anticipation of Jerome Powell’s Jackson Hole Speech and remained cautious.
Bitcoin “weak hands” Back to Realizing Losses
Bitcoin’s price has fallen 7.6% in the last week. new all-time high of $24,500 Last week’s price was set. Onchain Data from CryptoQuant show that over 20,000 BTC held by short-term holders (STHs) — investors who have held the asset for less than 155 days — moved to exchanges at a loss over the last three days.
On Sunday, more than 1,670 BTC was transferred at a loss to exchanges. This grew to 23,520 BTC on Tuesday. The price of BTC dropped by 3.5% to $114.400, from $118.600. Glassnode data.
Related: Bitcoin ‘liquidity zones swept’ but uptick in open interest hints at BTC recovery
The chart below shows that most Bitcoin sent to exchanges at a loss are from STHs, while LTHs—both in profit and loss—comprise just 10% of the total volume to exchanges.
It is not surprising that short-term investors are involved in this activity. panic-sell during market dipsLosses are often realized.
Last January was the last time Bitcoin STHs experienced sustained losses. “a period that marked the deepest correction of this cycle,” According to CryptoQuant Analyst Kripto Mezsimi.
“For the first time since that January drawdown, STH-SOPR multiples have slipped back below 1, indicating that short-term investors are once again realizing losses,” The analyst said In a Quicktake Note for August 18,
This has historically had two consequences: A weakened momentum, where prolonged loss realizations often precede deeper corrective phases or a healthy reset, where “brief dips below 1 can flush out weak hands, clearing the path for more sustainable rallies,” Kripto mevsimi explains, adding:
“This loss-selling event becomes a critical barometer of market health. If absorbed quickly, it could mirror past resets that fueled strong rebounds. If not, it risks signaling a momentum breakdown.”
Bitcoin drops below $100,000 “tough fight for bears”
BTC’s latest drop below $115,000 Many traders and analysts have called for price corrections that are deeper, to levels under $100,000.
If this happens, “$BTC would need to break the $100K–$110K wall” Trading firm Swissblock has been able to maintain its momentum for more than 100 days after breaking the $100,000 threshold on May 8. said Add this to the X on Monday:
“Not indestructible, but a tough fight for bears.”
According to popular Bitcoin analyst AlphaBTC a price decline towards the demand area of $110,000-$112,000 could be seen if the Bitcoin market closes below the low on Monday at $114700.
Polymarket’s prediction platform expects that prices will continue to fall for the remainder the week. Most of the time, you can find out what’s happening with prices by using a prediction market platform. likely outcome for BTC A close under $112,000 has a probability of 39%, while 18%, 16% and 12% are the odds that a fall to $110,000 or $108,000 is likely.
Cointelegraph reportedBitcoin may consolidate in its current range, as BTC investors continue to take profits below the all-time highest levels.
The article is not intended to provide investment advice. Each investment or trading decision involves some risk. Readers should do their own research before making any decisions.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: cointelegraph.com
