Key Points
- Bitcoin miners’ sell pressure has dropped to its lowest level since early 2024, indicating bullish conviction.
- Despite this, the market shows high leverage, hinting at possible volatility due to accumulated long positions.
Bitcoin [BTC] miners are displaying a bullish conviction, as the sell pressure has dropped to a level not seen since 2024.
This trend indicates a growing faith in the price stability of Bitcoin. However, it’s happening in a highly leveraged market where a sudden price shift could spark volatility and force liquidations.
Miner Selling Pressure at 2025 Low
Data from Alphractal shows that Bitcoin miner sell pressure is at its lowest since 2024, with the miner pressure metric now at the lower band.
This metric, which compares 30-day miner outflows to average reserves, suggests that miners are opting to hold rather than sell. This is usually a bullish indicator for price stability.
The last time the pressure was this low, Bitcoin experienced a period of relative calm before its next significant move. However, an abrupt price shift due to the buildup of leveraged long positions could make miners reconsider, possibly causing a resurgence in volatility.
Risks in Long Positions
The derivatives market appears more fragile despite miners’ firm hold.
BTC’s liquidation heatmap shows a significant accumulation of high-leverage long positions, particularly between $100K and $110K.
The danger lies in a quick downward move that could lead to billions in liquidations, exacerbating volatility.
With the recent growth in open interest largely driven by leveraged longs, the market is heavily skewed. This presents opportunities but also significant downside risks.
At the time of writing, BTC was trading at $104,336, a slight intraday decline of 0.27%. Despite this minor pullback, BTC remains above the crucial $100K support level.
The RSI was around 75, indicating overbought conditions and a possible cooldown.
Meanwhile, the OBV has leveled off after recent gains, suggesting buyer momentum might be slowing.
With bullish sentiment still strong but leverage risks on the horizon, BTC could either consolidate above $100K or face a sharp correction if selling pressure returns.
