Bitcoin, Another Attempt at $100,000... Selling Pressure from Short-term Holders Is Key

Bitcoin Eyes Another Run at $100,000… Short-Term Holders Are the Key

Bitcoin is showing signs of a potential recovery toward $100,000, but some analysts warn that selling pressure from short-term holders could limit the upward trend.

Bitcoin is currently seeking direction during a consolidation phase, and the market is anticipating that an interest rate cut at the upcoming Federal Open Market Committee (FOMC) meeting could act as a catalyst for a rebound.

There is also analysis suggesting that as the proportion of short-term holders (STH) increases, market volatility could rise. The STH share of Bitcoin supply has risen from 18.3% to 18.5%, increasing their influence on the market. Short-term holders tend to sell when profits are realized, which could significantly limit upward momentum.

Meanwhile, the Bitcoin profitability indicator has risen slightly from 66.5% to 67.3%, but it is still far from the strong bull market threshold of 98.4%. This indicates that investors remain cautious. Experts say that if an FOMC rate cut improves investor sentiment, Bitcoin could see a strong rebound; however, if short-term holder selling accelerates, the upward trend may be limited.

Currently, Bitcoin is trading around $92,600, having surpassed the first support level at $90,400. The market expects that if Bitcoin can defend its current price range and maintain its upward momentum, it will attempt to break through $95,000. Surpassing this level could reignite expectations for $100,000. On the other hand, if selling pressure prevails, Bitcoin could fall back to the lower support level at $86,822.