Analysis: 'BTC Short-Term Holders' Selling Could Indicate Price Increase
CryptoNewsTerminal Staff08 Aug, 2024
Analysis: 'BTC Short-Term Holders' Selling Could Indicate Price Increase
CryptoQuant contributor Amr Taha analyzed that "Bitcoin short-term holders (STHs) are selling in the spot market and opening short positions in the futures markets." Historically, this has been a price increase or bull market signal. In the meantime, "short-term holders are selling near or below the $51,000 price range." The BTC price has stayed above the average cost basis of the UTXO age band (an indicator that shows the price range and holding period of Bitcoin that has not been moved since acquisition) of short-term holders (1 day to 1 week) since July 9. Also, the realized market cap of short-term holders has increased by more than $3 billion in losses. In addition, short-term holders' SOPR (an indicator that measures whether holders sell their assets at a profit or loss) has marked 0.9 for the first time since June 2022. Usually, selling activities by short-term holders are interpreted as a price increase signal.
