Long-Term Holders Not Selling Bitcoin Following Peak At $73K

4 months ago 55

Long-Term Holders Not Selling Bitcoin Following Peak At $73K

Bitcoin price has been on a downtrend for 2 months and failed to hold upside momentum, with bulls turning weak. Bitcoin on-chain data reveals long-term holders (LTH) are currently not selling following a peak at Bitcoin all-time high.

Long-Term Bitcoin Holders Remain Bullish

CryptoQuant verified on-chain analyst Axel Adler Jr in a post on X on May 11 shared a key on-chain metric indicating that long-term holders are not currently their holdings. Bitcoin price has struggled to recover fully due to macroeconomic concerns such as Fed rate cut jitters.

Long-Term Holder Spending Binary Indicator showed Long-Term Holders (LTH) sold 1.3 million BTC when Bitcoin hit over $73,000. However, they are not currently selling their BTC holdings anymore.

The smart money are looking to enter Bitcoin at the local bottom. “They currently have a lot of cash, around 1.3 million BTC,” he added.

Furthermore, he believes it is the perfect time for a deep correction to filter out all the non-serious crypto investors. Short Term-Holders (STH) had three major profit-taking events at levels 28K, 44K, and 72K, but there was only deep correction in August-September last year.

May has key events next week such as PPI, CPI and Fed Chair Jerome Powell’s speech. The recent University of Michigan consumer sentiment data revealed a fall from 77.2 in April to 67.4 in May, the lowest in six months and also missed market expectations of 76. Furthermore, inflation expectations for the year ahead rises to 3.5%, a six-month high from 3.2% in April. Also, the five-year inflation outlook hit 3.1% from 3.0%.

Also Read: Ripple CEO Brad Garlinghouse Answers SEC Appeal, Crypto Predictions, Next Black Swan

Bitcoin Price Aims to Recover?

The US government’s budget surplus in April expanded to $210 billion from $176.2 billion a year earlier, driven by higher tax receipts that outpaced increased spending.

BTC price increased nearly 1% in the last 24 hours, with the price currently trading at $61,6009 Bitcoin tumbled from a high of $63,446 as it failed to sustain upside momentum after a recent breakout. Ethereum and other altcoins also fell 2-4%. The recent fall raised doubts about the crypto market recovery later this year.

Altcoin Market cap is still holding the $250 billion well as support, positioning itself for a future move to the upside via the black pathway, said popular analyst Rekt Capital.