Bitcoin experienced a major liquidation event worth $359.7 million after surpassing the average UTXO pricing from one-day to one-month. Analysts view this as a potential pivotal moment for the market.
Short-Term Holders Remain in Profit
Recent investors in Bitcoin remain profitable as the current market price exceeds the realized valuation of Bitcoin transactions from one-day to one-month old UTXOs according to CryptoQuant data. Short-term investors are managing to avoid substantial losses through recent liquidations, which might slow down price declines.
1W–1M UTXO Shows Strong Support
The existing value of UTXOs kept between one week and one month amounts to $84,740. Market participants often enter the market to buy at this important support zone when Bitcoin approaches this price level.
Market Sentiment & Trend Outlook
The mass liquidation has depleted multiple leveraged positions, creating a chance for market price recovery. The market tends to create short-term price bottoms due to forced disposals before market forces convince weak speculators to sell off their positions.
The large $359.7M liquidation event highlights the dangers of leveraged trading strategies while affirming UTXOs as crucial support metrics. Bitcoin's current market position will indicate if this was a temporary upheaval or the start of a larger price correction.
