Bitcoin Struggles Above $110,000 as Long-Term Holder Distribution Increases
Bitcoin is currently facing significant selling pressure, struggling to maintain its position above $110,000. Analysts view this level as crucial for sustaining a bullish trend. Key points include:
- Recent trading has shown increased volatility, leading to uncertainty among investors.
- Axel Adler's analysis of Bitcoin UTXO Age Metrics indicates long-term holders are distributing their coins, historically a precursor to downward price pressure.
- The LTH Aging Velocity metric is currently at -1.2%, suggesting a decrease in the long-term holder supply and an increase in short-term holder supply.
- If demand from institutional investors does not match the ongoing selling, further price declines may occur.
- Price analysis shows Bitcoin trading at $111,711, with resistance around $114,000. A break above could target $118,000; otherwise, a retest of $110,000 or lower levels is likely.
- Support remains strong near the $108,000 mark; failure to hold this level risks a decline towards $105,000.
