Bitcoin's price has fallen below $60,000 amid persistent institutional outflows. However, on-chain data reveals that long-term holders and various wallet cohorts are gradually accumulating coins. Loss-making coins now outnumber profitable ones, indicating a shift of supply to steadfast holders. The options market exhibits defensive positioning with rising implied volatility, suggesting the market is in an early bottoming phase though the bottom is yet to be confirmed.
Market Observation: Characteristics of Bitcoin's Early Bottoming Phase
Bitcoin's price has recently slipped below the $60,000 mark, accompanied by persistent institutional capital outflows. Nevertheless, on-chain data tells a different story: long-term holders and multiple wallet cohorts are steadily accumulating coins. The number of coins in loss now exceeds those in profit, signaling that supply is transitioning from short-term speculators to committed holders.
The options market reflects a defensive posture with implied volatility ticking up, indicating cautious sentiment. Taken together, the market appears to be in an early bottoming phase, though a definitive bottom has not yet been confirmed.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
