Bitcoin shows signs of controlled optimism and an analysis of the Short Term Holders SOPR (STH SOPR) reinforces this perspective.
Currently, the indicator remains in the middle region, far from the Extreme Greed range, suggesting that the asset still has room to continue rising before reaching a possible market top.
The SOPR, combined with the 30-day moving average (30d MA), reveals that short-term holders are taking moderate profits, with no signs of excessive euphoria.
In previous cycles, it has been observed that when the indicator enters the extreme greed region, the market often encounters resistance, resulting in significant corrections.
On the other hand, Extreme Fear zones have indicated moments of accumulation and the formation of important bottoms.
At the moment, the behavior of the SOPR suggests a phase of healthy growth, with moderate optimism. This intermediate position may reflect a market in transition, where investors continue to adjust their positions as the Bitcoin price advances.
However, it is essential to monitor the behavior of the indicator over the coming weeks. If it quickly approaches the extreme greed range, it could be a sign of more aggressive profit-taking and a possible trend reversal.
For investors, this is a strategic time to take advantage of the upside potential while maintaining sound risk management strategies.
While the SOPR indicates that the top has not yet been reached, the balance between optimism and caution is key to maximizing gains and protecting capital from high price volatility.
Written by G a a h
