Darkfost, an analyst at CryptoQuant, said the crypto market is in an early stage of balance, where budding demand recovery coexists with ongoing but moderate selling pressure. He pointed out that profit-taking by short-term holders has led to a slight increase in selling, but on-chain UTXO (unspent transaction output) spending has not grown significantly. Investors, he added, remain relatively calm, with no signs of large-scale panic selling. The analyst's remarks were published by Odaily on September 1, 2026. UTXO refers to unspent transaction outputs, representing the amount of cryptocurrency that remains unspent after a transaction is executed. In this case, the limited growth in UTXO spending suggests that most holders are not rushing to exit, even as short-term players take profits. The combination of a quiet investor base and modest selling pressure forms the basis of what Darkfost describes as an early balance between recovering demand and controlled supply.
CryptoQuant analyst Darkfost says the crypto market is sitting in an early balance phase, with the first hints of demand coming back while selling pressure stays steady and fairly restrained.
In comments reported by Odaily, he said short-term holders taking profits have pushed selling pressure a bit higher. But on-chain spending of UTXOs (unspent transaction outputs) has not jumped sharply, and investors generally look calm, with no sign of panic selling at scale.
UTXO means the amount of cryptocurrency left unspent after transactions. Simple as that. And the fairly modest rise in spending suggests most holders are not scrambling to get out, even while some short-term traders cash in gains.
Darkfost's take puts the market in what he calls an early balance between a demand recovery that is just starting to form and selling pressure that remains contained, not excessive.
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.
