Bitcoin Market Enters Caution Zone Amid Rising Sell-Side Pressure, Analyst Says
Bitcoin (BTC) has gained 3.6% over the past month but faces a lack of Apparent Demand, indicating potential market weakness and a risk of price decline. Apparent Demand has turned negative due to insufficient new buyer interest to offset supply from miners and long-term holders (LTHs). This imbalance suggests an increased supply of BTC for sale, exerting downward pressure on prices. Significant selling by LTHs indicates a belief that the market may have peaked. However, some analysts point to positive signs, such as healthy consolidation in Bitcoin Binary Coin Days Destroyed (CDD) and rising short-term holder (STH) floor prices, which have reached $98,000. Easing geopolitical tensions and favorable macroeconomic developments could also support a rally in cryptocurrencies. Currently, BTC trades at $107,500, down 0.5% in the last 24 hours.
