Introduction
After facing significant bearish pressure, Bitcoin has shown resilience and strength over the weekend. Despite challenges, BTC remains above the psychological level of $110,000, demonstrating investor resolve.Key Points
- Bitcoin's current price is around $110,200, with no significant movement in the last 24 hours.
- Short-Term Holder (STH) profits are rebounding, with the STH-SOPR metric breaking above 1 for the first time.
- STHs, who experienced losses in recent weeks, are beginning to lock in profits.
- The market may still have room for further adjustments, and investors should proceed with caution.
In-Depth Analysis
According to market analyst Frank, there has been a significant shift in the behavior of short-term Bitcoin holders. These holders, defined as possessing coins for less than 155 days, are now beginning to sell at a profit after weeks of losses. The rise of the STH-SOPR metric above 1 indicates that these investors are no longer exiting the market at a loss but actively seeking profits.This change may represent a shift in market sentiment. Typically, when the STH-SOPR is below 1, it indicates a sell-off state where weaker hands are exiting. A rise above 1 often signals reduced selling pressure, suggesting a potential rebound.
However, Frank notes that the market might still want to inflict more pain on the short-term holder segment before any upward movement. Investors should carefully evaluate current market risks before making decisions.