Let’s take a look at the signal given by the Btc data on the chain. Like the foreigner brothers!
I recently took a look at Bitcoin's UTXO data and found some interesting signals, which are quite similar to the market trends in previous rounds. We can see some trends from short-term and long-term UTXO changes, which may be helpful for subsequent market analysis.
Let’s briefly talk about a few key points:
1. An increase in short-term UTXO may indicate a top: The orange part in the figure represents the UTXO of short-term holders (1 day to 1 week). Whenever this part increases significantly, it is usually a signal that the market is near a top. Short-term investors take profits at high points, which often brings a certain amount of selling pressure to the market and leads to price fluctuations.
2. The increase in long-term UTXO indicates the market accumulation stage: the purple part represents long-term UTXO (1 month to 3 months). When this part increases, it usually means that investors are accumulating Bitcoin and choose to continue to hold the currency. Not selling. This generally occurs when the market expects there will be an opportunity to rise in the future, which is a relatively healthy signal.
3. The delicate situation of the current market: The rise of short-term UTXO is somewhat similar to a signal of the top of the market, but the accumulation of long-term UTXO is also going on at the same time, indicating that many investors still have the confidence to continue holding currency. This makes the market appear to be in a choppy phase rather than falling rapidly.
In summary, the current market trends present both the risk of short-term selling pressure and signs of support from long-term holders. The next trend may gradually become clear amid the shock.