Bitcoin Price Reaches Market Uptrend Line That Triggered 30% Gains

Bitcoin virtually recovers the short-term holder's realized price, bringing with it both the break-even point and the chances of a significant BTC price upside.

Bitcoin faces a battle over a key bull market trendline, which it lost for the first time in nearly a year in June.

Data from onchain analytics platform CryptoQuant shows that the price of Bitcoin is retesting the realized price of short-term holders (STH).

BTC price puts short-term holders in the black

Bitcoin STH activity is a crucial reference point during bull markets, as the aggregate cost base of this group of speculative holders often forms long-term price support.

The same has been true since the last bull market began in early 2023 — BTC/USD only fell below STH's realized price for brief periods.

Now, another slump is coming to an end. STH entities, defined as those that hold an amount of BTC for 155 days or less, are no longer doing so at a loss.

“Recently, the price of Bitcoin recovered the realized price of STH,” wrote CryptoQuant contributor J. A. Maartunn in one of his Quicktake blog posts on July 18.

“This is a positive sign because short-term holders often add to their positions when Bitcoin returns to its average cost base, creating a support level.”