Long-Term Bitcoin Holders Cash Out as Price Dips, But Optimism Remains Strong

Bitcoin’s long-term holders have been offloading significant amounts of their holdings this month as the cryptocurrency’s price hovers around the $92,000 mark.

An on-chain analyst, known as Checkmate, highlighted this activity, noting that these seasoned investors have sold more Bitcoin in November than in any other period during the current market cycle.

#Bitcoin Long-Term Holders have distributed $60B worth of supply in the last 30-days.

Out of all the LTH supply moved since the FTX bottom, 21% of it has happened in November.

This is the heaviest profit taking we have seen so far this cycle. pic.twitter.com/4khtZKlKU9

— _Checkmate 🟠🔑⚡☢️🛢️ (@_Checkmatey_) November 24, 2024

Data reveals that addresses holding Bitcoin for over 155 days have shifted a staggering $60 billion worth of coins in the last 30 days. This accounts for 21% of all Bitcoin sold by long-term holders since the market rebound following the FTX collapse, marking the highest level of profit-taking in this cycle.

As Bitcoin undergoes a price correction, the analyst suggests that three factors must align to indicate the onset of a bear market: widespread purchasing, overvalued prices, and excessive enthusiasm among buyers. However, the current scenario doesn’t necessarily tick all these boxes, as institutional players continue to dominate the narrative.

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Is Bitcoin’s $100,000 Target Still Within Reach?

In a recent discussion, Checkmate shared optimism about Bitcoin’s evolving role in the financial landscape. He explained that the asset is increasingly recognized as a viable long-term store of value, akin to gold. Investors are gradually appreciating its unique characteristics and its potential to diversify portfolios, both for financial gains and as a hedge against economic uncertainty.

Kosta Gushterov