Bitcoin Market In Distribution: Are We Nearing A Bottom?
Portfolio Pulse from Murtuza Merchant
Glassnode's report on Bitcoin (BTC) highlights a transition to net distribution since its March all-time high, with short-term holders driving sell-side pressure. Key metrics like 1w-1m Cost Basis, MVRV Ratio, and Realized Loss suggest a potential local bottom formation around the $60k-$66.7k range. The analysis indicates significant selling pressure but also points to possible turning points for investors.
May 02, 2024 | 5:27 pm
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Glassnode's analysis suggests Bitcoin is in a net distribution phase with potential for a local bottom formation around $60k-$66.7k, driven by short-term holder activity.
The analysis by Glassnode points to a significant phase of net distribution in Bitcoin's market, with the potential for a local bottom formation. This is based on metrics like the 1w-1m Cost Basis, MVRV Ratio, and Realized Loss, which suggest that despite the selling pressure, there could be a stabilization or slight recovery in the short term. The involvement of short-term holders as the primary sellers indicates that their behavior will be crucial in determining the short-term price direction of Bitcoin.
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