Bitcoin (B T c) The latest on-chain data shows that speculators made panic selling as the BTC price revised upwards to $40,000.
Statistics from on-chain analytics firm glassnode Show a selloff of over $2 billion in BTC by short-term holders (STH) on December 12 alone.
Bitcoin short-term holders hit 18-month selling record
bitcoin saw it Biggest one day fall of 2023 This week – 8.1% total at one point, from data Cointelegraph Markets Pro And trading view Confirms.
Responding, the more speculative subsection of the Bitcoin investor base followed suit, reducing their exposure in the event of cold feet on the market outlook.
Glassnode revealed that STH, which are entities holding BTC for 155 days or less, sent $1.93 billion worth of coins to exchanges on December 11, followed by $2.08 billion worth of coins the next day.
Both days marked long-term highs in terms of STH selling pressure, with both profit-making and loss-making institutions joining the trend.
The last time single-day sales crossed the $2 billion mark was in June 2022 – it was a reaction imminent collapse of blockchain firm Celsius.
one in Post On December 12 on X (formerly Twitter), James Van Straten, research and data analyst at crypto insights firm CryptoSlate, noted the significance of the week’s STH movements.
“Total $2B, with losses of $1.1B,” his comment read in part.
“This is for those who bought between December 6th and December 13th, likely retail purchases, after seeing Bitcoin rise 150% YTD.”
In BTC terms, volumes were less large, with the December 12 number being the largest since early July this year. At the time, BTC/USD was fresh from a surge above $30,000 after falling to $25,000.
Meyer shows multiple classic resistance looms
Continuing, Glassnode noted several on-chain indicators that suggest STH has filled the bullish mark for the time being.
Connected: ‘Take a rest and move on’ – Bitcoin price mimics 2020 bull run fractal
The researchers said profit-booking from this month’s 19-month high near $45,000 was “worthwhile”, adding that “potential demand saturation (exhaustion) may play a role.”
“Particularly after such a powerful 2023 so far, this rally has faced resistance, with on-chain data showing that STH is a key driver,” he said in part of the conclusion to the firm’s latest weekly newsletter. wrote, “The Week On-Chain,” released on December 12.
Among the indicators displayed was the Mayer Multiple, which describes the relationship of the current spot price relative to its 200-week moving average.
The multiple is rapidly approaching 1.5 – an area that, while not “overbought,” has served as bull market resistance throughout Bitcoin’s history.
“The current value of the Mayer Multiple Indicator is 1.47, which is close to the ~1.5 level, which has often formed a level of resistance in prior cycles, including the November 2021 ATH,” Glassnode reported.
“Perhaps an indicator of the severity of the 2021-22 bear market, it has been 33.5 months since this level was surpassed, the longest period since the 2013-16 recession.”
This article does not constitute investment advice or recommendations. Every investing and trading move involves risk, and readers should do their own research when making decisions.
