Long-Term Bitcoin Investors Expect Increase Before Selling, Pressure May Come
According to research by blockchain analysis firm Glassnode, long-term investors could create significant selling pressure if the price of Bitcoin increases.
The sideways price movements experienced in recent months have caused a significant slowdown in the distribution pressure of LTHs (long-term investors). This situation led to the on-chain wealth of this group first stabilizing and then starting to grow again.
They may start selling when the price increases
The risk ratio of long-term investors on the sell side is at a lower level compared to the periods when the price of Bitcoin broke records in the past. This means that the profit levels of LTHs are lower compared to previous market cycles.
This situation reveals the potential for LTHs to create more selling pressure if the price of BTC increases in the future. It also shows that these investors are reluctant to sell their coins at low prices, despite the recent sideways or downward movement of prices. This data points to a more patient and resilient investor base despite market conditions.
“Despite the challenging market conditions, Long-Term Bitcoin Investors remain surprisingly resolute. This shows that investors are patient and waiting for higher prices,” the Glassnode team said.
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