Short-term traders are selling Bitcoin in panic, but large and institutional investors remain active in their buying activities.
Current Market Status and Profit and Loss Indicators
According to Glassnode data, the market has experienced significant sell-offs following price increases, resulting in drops in realized profit and loss metrics. Historically, profit-taking activity declines noticeably after Bitcoin reaches its peaks in past cycles. The current level of realized profit and loss amounts to $508 million.
The $50,000-$70,000 Accumulation Range and Whale Activity
The price range of $50,000 to $70,000 shows significant interest from large and institutional investors. They use these levels for buying due to price stability. Their expectations remain on Bitcoin's long-term growth despite short-term downturns.
Market Implications and Forecasts
Short-term holders exhibit panic selling, while institutional investors continue with stable buying. Further declines in realized profit and loss indicators might indicate stabilization following recent volatility. The price could revert to support zones between $70,000 and $75,000 if seller pressure persists.
Traders should pay attention to accumulation data and market sentiment dynamics. A price breakthrough above $85,000 might signal continued bullish trends, while failing to hold $80,000 could lead to further price declines.
