Bitcoin broke profits, will the market change?

Bitcoin has just sprayed a new record, but there is a more complex dynamics behind this depicted euphoria. Before the scenes, short -term investors multiply profits and collect billions of dollars in a few weeks. This massive movement, which has captured analysts, can report a fault in the mechanics of the market, where traditional indicators are still trying to decide.

Record profits from short -term investors

After colossal losses a few weeks ago, short -term investors from Bitcoins rarely increase profits on the scale.

This phenomenon has been informed in the latest weekly report on Glassnode, indicating the brutal acceleration of profits made by this category of investors, known for its reactivity to market movements.

Here are key data listed by Glassnode:

• 11.6 billion dollars have been reached in the last 30 days;
• The amount reached up to $ 747 million a day, a remarkable summit in this bull cycle;
• By comparison, in the last 30 days, cumulative profits have been $ 1.2 billion;
• These characters translate and “Drastic reflection in feeling and spending behavior for new investors” ;;
• The whole is measured by an indicator “Profit”which counts the difference between the purchase price and the effective selling price of the bitcoins, the corner of the corner.

The chain analysis provides a persistent trend in the last month. In fact, the advantage of short -term investors remained an exceptionally high level in direct connection with the rally, which led Bitcoins to the new ATH.

This winning madness illustrates a rapid change in posture has newly entered the market, often more sensitive to price fluctuations and more inclined to ensure its profits in the high volatility phase.

Absorbable sales pressure or beginnings of conversion?

If the profit numbers are magnificent, Glassnode still a need interpretation and notes that this profit cycle remains “Lower the peaks reached at the end of 2024”.

This clarification is essential because it suggests that the market has not yet reached overheating comparable to the levels observed during the previous cyclic peaks.

In other words, even if the activity of short -term investors is intensive, it does not necessarily have a sign of global shortness of the market.

This distinction could indicate stronger resistance of demand, probably to support courses despite sales pressure.

In addition, it is now a central question that is the absorption of this pressure. Glassnode with miracles: “It remains to find out if the incoming request will be able to absorb this sales pressure”.

This sentence crystallizes contemporary uncertainty. If the buyer’s dynamics are maintained at a sufficient level, massive profits can only have a slight impact on the price. Otherwise, a more significant reflux, returns the market to the consolidation phase or even to a more serious conversion.

Although current indicators are indicative of the dynamic and partly permanent market, caution is necessary. The behavior of short -term investors in the coming weeks could serve as revealing for the overall trend.

If the profits are intensified without being compensated by the influx of fresh liquidity, a wireless stain of the bull cycle could be profiled. On the contrary, the absorption of the fluid of this sales pressure according to demand could lay the foundations of a new ascending pulse, a potentially more structured, such as the recent transition of $ 111,000 with bitcoin.

Luc Jose A.

A graduate of the Toulouse and the Blockchain Consultant Certification certification holder and I joined the adventure of Cointribuna in 2019. I convinced of the potential of blockchain to transform many economy sectors, committing to raising awareness and informing the general public about how the ecosysty developed. My goal is to allow everyone to better understand blockchain and take the opportunity they offer. I try to provide an objective analysis of messages every day, decrypt trends on the market, hand over the latest technological innovations and introduce the economic and social issues of this revolution.

Renunciation

The words and opinions expressed in this article are involved only by their author and should not be considered investment counseling. Do your own research before any investment decision.