With the total supply held by these Bitcoin long-term investors on the rise, it implies that their spending has remained minimal and light — even in the face of bearish pressure and the uncertain market condition in the past month. This positive trend signals renewed confidence and the LTHs’ lack of interest in reducing their exposure in the market.
Glassnode, however, noted that long-term holders often begin distributing their coins around 350% unrealized profit margins, which corresponds with a Bitcoin price of approximately $99,900. With the BTC price closing in on this level, the analytics firm believes that increased sell-side pressure might be on the horizon for the flagship cryptocurrency.
The analytics firm concluded that the potential sell-side pressure from the large BTC supply in the $95,000 – $98,000 region and from the long-term holders distributing their coins around the $99,900 level creates a major resistance barrier. However, a successful breach of the $100,000 mark could “open the path to price discovery,” as the coin supply above this price level is relatively light.
