Bitcoin Speculators Panic Sell as On-Chain Data Shows Selling Pressure
New data from Glassnode reveals that short-term holders (STHs) of Bitcoin offloaded more than $2 billion worth of BTC on December 12 alone. This selling pressure by STHs has set an 18-month selling record, with entities in both profit and loss participating in the trend. The last time single-day selling surpassed the $2 billion mark was in June 2022.
Significance of Short-Term Holder Movements
Crypto insights firm CryptoSlate highlights the significance of the recent STH movements. Between December 6 and December 13, retail investors who bought Bitcoin after seeing its 150% year-to-date increase have experienced losses. This selling pressure is reflected in the largest BTC trading volumes since July this year.
Resistance Levels Indicated by Mayer Multiple
Glassnode’s on-chain indicators suggest that STHs may be experiencing exhaustion and resistance at the current bull market levels. The Mayer Multiple, which measures the relationship between the spot price and its 200-week moving average, is approaching 1.5. This level has historically acted as resistance during previous bull markets. The present value of the Mayer Multiple indicator is at 1.47, close to the level seen during Bitcoin’s all-time high in November 2021.
Hot Take: Bitcoin Speculators Panic Sell Amidst Selling Pressure
The latest on-chain data indicates that Bitcoin speculators are panic selling as short-term holders offload billions of dollars worth of BTC. This selling pressure has set a record for the past 18 months, with both profitable and unprofitable entities participating in the trend. The significance of these movements lies in the losses experienced by retail investors who bought Bitcoin after seeing its impressive year-to-date increase. Additionally, the Mayer Multiple suggests that resistance levels may be looming for the current bull market. All of these factors contribute to the current market outlook and sentiment surrounding Bitcoin.
By
By
By
By
