The cryptocurrency market has recently experienced a notable pullback, following a sharp decline in Bitcoin's price from above $100K to the mid-$90K range, triggering over $1.5 billion in liquidations across nearly half a million traders. Altcoins such as $XRP
Dogecoin $DOGE
also faced significant drops, reflecting broader market sentiment shifts. The pullback, attributed in part to high leverage trading, led to a major deleveraging event, with $1.7 billion in open interest (OI) liquidated. Technical indicators, such as Bitcoin's Long/Short-Term Holder Supply Ratio, suggest a change in holding behavior, with fewer long-term holders. Realized profits have cooled, dropping 42% from peak levels, signaling a potential market cooldown after the euphoria of hitting near all-time highs. Despite this, there are signs of seller exhaustion, particularly with Bitcoin, which could indicate the return of buying interest. Historically, the current correction has been relatively mild at -20.1%, suggesting that the market may be maturing and that the fundamental support behind this cycle remains strong.#USJoblessClaimsFall #CorePCESignalsShift
