Recently, an intriguing phenomenon has emerged in the Bitcoin market: the return on investment for long-term holders has soared to approximately 290%, indicating that their investments have gained substantial profits. However, this has also led many investors to consider whether it is time to realize their gains, and such cashing behavior could have a significant impact on the market. As Bitcoin prices continue to rise, the future trajectory of the market becomes increasingly uncertain, and many investors are beginning to worry about a potential market pullback.
Long-term holders enjoy substantial profits, increasing the risk of selling
According to the latest data, long-term investors who have held Bitcoin for over 155 days have realized considerable returns, with their realization price at $24,298, while the current Bitcoin price is about $94,820, meaning they can achieve a profit of approximately 290%. Such high returns make these investors' motives for cashing out more apparent, and the market may face a wave of selling pressure.
Despite analysts believing that Bitcoin's upward momentum may stagnate in the short term, it is expected to continue rising after the U.S. presidential election. However, many investors are still concerned about the risk of a short-term pullback. Bitget Research's Chief Analyst Ryan Lee predicts that the price of Bitcoin may experience a pullback of about 30%, which makes some short-term investors more cautious.
Profit pressure for short-term holders
Unlike long-term holders, short-term holders have limited profit potential. Data shows that investors who have held Bitcoin for less than 155 days have a cost basis of about $86,753; if sold at the current price, their profit margin would only be 9.29%. This gap may prompt some short-term holders to choose to continue holding Bitcoin in hopes of obtaining greater returns when prices rise further in the future.
AI aids investment decisions, providing precise insights into market trends
In the face of the market's complex trends, how can one make accurate investment decisions amidst ups and downs? Traditional market analysis often requires a considerable amount of time and expertise, but now, with the support of AI technology, investors can obtain more efficient and precise market analyses.
For example, the Mlion.ai platform utilizes advanced AI algorithms to provide users with accurate market forecasts, sentiment analysis, and risk assessments, helping you quickly gain insights into market dynamics. When market fluctuations occur, you can adjust your investment strategy in a timely manner using real-time data and AI research reports provided by the platform, avoiding missed opportunities. Mlion.ai's AI-driven analysis covers not only the Bitcoin market but also various digital assets and on-chain data, providing scientific support for your investment decisions.
For those investors concerned about losses from market volatility, Mlion.ai's smart chart analysis and real-time market dynamics dashboard can help you quickly identify the best buying and selling opportunities. By conducting in-depth analyses of technical indicators, the platform can offer personalized investment advice, allowing you to stand out in a complex market.
Disclaimer: The above content is for informational sharing only and does not constitute any investment advice.
