Who Is Selling Bitcoin as Prices Approach $100K? Market Insights Unveiled

The post Who Is Selling Bitcoin as Prices Approach $100K? Market Insights Unveiled appeared first on Coinpedia Fintech News

Recently the crypto market wiped $500 million in liquidations over the past 24 hours due to Bitcoin’s price fluctuation. Long traders were hit hardest, with over $366 million in long positions liquidated. Short positions also faced losses, with $129 million wiped out.

This came after Bitcoin’s price dropped from around $98,000 to $95,500 on Sunday, before recovering to above $98,000. This drop came when Bitcoin almost hit the $100,000 milestone on Nov 23 highlighting ongoing price fluctuations. While this drop was expected, it is creating a fear in the market of further drops. 

What’s pulling Bitcoin to hit $100K? Let’s step in to know more. 

The Impact of Profit-Taking by 2024 Buyers

Billionaire investor Mike Novogratz, CEO of Galaxy Digital, recently shared his insights into the driving forces behind this selling pressure. According to Novogratz, recent Bitcoin activity can be largely explained by profit-taking and market psychology, but there’s more beneath the surface.

Novogratz suggests that a significant portion of the selling comes from buyers who entered the market in 2024 at prices above $56,000. These investors are likely taking profits as Bitcoin nears new highs. It’s a typical market reaction when assets hit key milestones, and this is no surprise to Novogratz. He views this as part of the natural cycle in any bull run.

The Role of Long-Term Holders (HODLers)

While short-term profit-taking plays a role, Novogratz also points out that many of the recent buyers are long-term holders, known as “HODLers.” This group tends to hold their assets through price swings, helping to keep market conditions stable. After halving this year the Bitcoin supply is already half, Novogratz sees this trend as a positive development in the long run, as it reduces selling pressure and provides support for the price.

• Also Read :
•   VanEck Shares Optimistic View : Bitcoin on Track for $180K?
•   ,

Analyst Weigh in on $100,000 Level

Novogratz also highlights the psychological factor at play. Large round numbers, such as $100,000, tend to act as barriers in financial markets. When Bitcoin approaches these levels, both aggressive selling and cautious buying intensify, leading to periods of consolidation. Novogratz isn’t concerned about this, believing that consolidation near major price milestones is common before a breakout. 

In a recent X post, analyst Ali Martinez also suggested that Bitcoin’s price may exceed $100,000 during this bull run. He noted that long-term holders are showing increasing greed, a sign that historically indicates a longer bull market.

Martinez predicted that it could take 8-11 months for Bitcoin to reach its market top, implying more gains ahead before the cycle peaks. Plus, the Relative Strength Index (RSI) is showing strong momentum, suggesting that crypto is on the brink of a major breakout. This analysis points to a possible surge toward the expected $100,000 level soon.

With BTC hanging on a thin ice it will be interesting to see if it rises or drops before hitting $100K. 

Curious about what’s next for BTC? Read Bitcoin price prediction insights and discover if $100K is within reach during this bull run!

FAQs