According to a popular on-chain analyst, long-term holders of Bitcoin (BTC) are suddenly unloading a huge amount of coins this month, as the flagship crypto asset hits the $93,000 mark.
The pseudonymous sleuth on the chain known as Checkmate tells are 102,900 followers on the social media platform
“Long-term holders of Bitcoin have distributed $60 billion worth of supply in the last 30 days. Of all LTH supply since the FTX bottom, 21% happened in November. This is the heaviest profit taking we have seen so far this cycle.”
As Bitcoin corrects, says analyst say There are three main criteria to indicate whether a bear market may be emerging.
“Bear markets occur when too many people buy too many coins at too high a price. The question we need to ask ourselves is whether all three conditions are met.
Imagine an extreme, true [MicroStrategy executive chairman Michael Saylor] is the main buyer. It wouldn’t pass the ‘too many people’ test.”
Despite the sale, Checkmate say in a recent interview it was said that Bitcoin is more widely seen as a valuable long-term asset, similar to gold.
“I think Bitcoin has now crossed that gap. We’re seeing more and more very, very intelligent investors… who understand the system…
They’ve had to build the belief based on a trump card that the world has been telling them they’re wrong for years and years, to come to that very consistent, coherent conclusion that this makes perfect sense…
So I think over time the market will figure out that Bitcoin is special. It’s different, and it plays a role in portfolios, both from a simple financial performance perspective, but also from a fundamental perspective. It does compete with gold, and more recently, like literally this past week, we have turned around silver.”
Bitcoin is trading at $94,700 at the time of writing.
Don’t miss a beat – Subscribe to receive email alerts straight to your inbox
Check price action
Follow us further X, Facebook And Telegram
Surf to the Daily Hodl mix
Generated image: Midjourney
Credit : dailyhodl.com
