Deciphering the recent rise in Bitcoin prices: This group is leading the way

  • Short holders have begun accumulating large amounts of BTC.
  • Whales’ accumulation of BTC has slowed down.

Bitcoin [BTC] The price has witnessed a massive rise over the past few days, causing increased optimism among traders. But traders were not the only ones who showed optimism about Bitcoin.

Short term holders are moving

In the past few days, the Short Term Holder Supply (STH) has seen a net increase of over 20,000 BTC.

US ETFs raised 11,000 BTC over the same period, even when considering outflows from Hong Kong ETFs. This indicates that there is significant demand from other sources, as reflected in the price movement.

This increased demand from STHs creates a positive feedback loop. As more people buy, the price rises, attracting more buyers. This could accelerate price increases.

However, it is important to remember that STHs are usually more likely to sell quickly when prices fall, which can lead to increased volatility.

So, while STH accumulation is a positive sign for Bitcoin’s momentum in the short term, it could impact BTC’s growth in the long term.

Source: Glassnode

What do his owners do?

Another indicator of a high number of short holders is a low buy/sell ratio. A lower buy/sell ratio indicates that the number of long-term Bitcoin holders accumulating Bitcoin is declining.

Long-term Bitcoin holders are more likely to hold onto their holdings during violent price fluctuations, which could also negatively impact Bitcoin in the long term.

The MVRV of BTC has been rising in the past few days, indicating that a large number of addresses holding BTC have become profitable.

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This could increase selling pressure on Bitcoin, as STHs may be incentivized to sell their holdings for a profit.

Source: Santiment

Whale behavior will also play a big role in determining the price of BTC in the future. In the past few days, whales have been stagnant in terms of Bitcoin accumulation.

They did not sell any of their holdings, but they did not show any interest in accumulating Bitcoin at this price level.


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On the other hand, retail traders have been observed buying Bitcoin en masse, which may have also contributed to the recent rise in Bitcoin price.

At the time of writing, BTC is trading at $67,110.39 Its price increased by 1.17% during the past 24 hours.

Source: Santiment

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