Key Points
- Bitcoin has seen an increase of over 3% in the last 24 hours, with indicators suggesting continued growth.
- Despite this uptick, short-term holders are still at a loss, suggesting they may continue to hold Bitcoin.
Bitcoin has experienced a more than 3% rise in value over the last day, hinting at a continued price increase.
After a period of falling prices, Bitcoin [BTC] has shown signs of bullish momentum, with its value rising above the $62k mark.
Short-Term Holders at a Loss
Despite the recent increase in value, data suggests that short-term holders are still experiencing losses. This raises the question of whether investors will continue to hold onto their Bitcoin.
Bitcoin’s daily chart has turned green, indicating that the bulls are stepping in. CoinMarketCap shows that Bitcoin’s price has risen nearly 3% in the last 24 hours.
At the time of writing, Bitcoin was trading at $62,785.74, with a market capitalization exceeding $1.24 trillion.
Crypto analyst, Ali, recently highlighted the losses faced by short-term holders on Twitter. If they were to sell now, they would suffer a loss of -6.78%. The maximum pain point in this bull cycle has been around -12%.
Long-Term Holders Holding On
Despite short-term holders selling off their Bitcoin, long-term holders are not following suit. Data from CryptoQuant shows that BTC’s binary CDD is green, suggesting that long-term holders’ movements in the last week were lower than average. This suggests they are holding onto their coins.
In addition, the supply held by long-term holders has increased over the last two weeks, suggesting accumulation.
However, BTC’s exchange reserve has been increasing, indicating that investors are offloading BTC. Furthermore, both BTC’s Coinbase premium and Korea premium were red, suggesting a dominant selling sentiment among U.S. and Korean investors.
This could soon negatively impact BTC’s price. Currently, BTC’s fear and greed index is at 85%, indicating an “extreme greed” phase. When the metric reaches this level, it often indicates a possible price correction.
Despite this, most indicators on Bitcoin’s daily chart remain bullish. Both its Relative Strength Index (RSI) and Money Flow Index (MFI) are showing upward momentum. Furthermore, the MACD shows a bullish crossover, suggesting a continued price rise. If this trend continues, BTC’s price could soon reach $66k.
