According to Glassnode data, long-term Bitcoin investors may realize profits at the level of 99.9 thousand dollars, which could limit upward movement.
With the price of Bitcoin (BTC), the leading asset of the cryptocurrency market, surpassing 90 thousand dollars, many investors are expecting a new rise towards the record level of 109 thousand dollars that was broken in January. However, recent data from analysis platform Glassnode shows that this path may not be as straightforward as it seems, and selling pressure from some market participants around the level of 99.9 thousand dollars may increase.
Long-term investors may take profits
According to the analysis conducted by Glassnode, long-term holders (LTH), defined as wallets that have held coins for at least 155 days, may realize profits at the level of 99.9 thousand dollars. This situation seems consistent with the historical behavior of long-term investors selling at price levels that historically offered approximately 350% paper gains.
Glassnode, in an analysis post shared on platform X, stated, "Historically, long-term investors begin to distribute more aggressively at around 350% unrealized profit margins, which corresponds to a BTC price of approximately 99.9 thousand dollars. As the market approaches this level, it is likely that selling pressure will increase, and strong demand will be needed to absorb it."
A second source of selling pressure could be wallets that acquired coins while the cryptocurrency was trading between 95 thousand dollars and 98 thousand dollars earlier this year. These investors, who weathered the drop to 75 thousand dollars last month, may be inclined to exit their positions at least partially at breakeven or with a small profit. This situation is also consistent with the behavioral aspects of trading behavior, which suggests that investors tend to quickly realize profits while holding onto losing positions.
Glassnode stated, "A large cluster of coins was acquired between 95 thousand dollars and 98 thousand dollars, which means that some BTC holders may be able to exit at breakeven. This, along with increasing profits for long-term investors, creates a significant resistance zone," and added: "A clean breakout could pave the way for price discovery above 100 thousand dollars."
Experts state that it will become clear in the coming weeks whether Bitcoin can overcome this critical resistance level and that surpassing the psychological barrier of 100 thousand dollars could initiate a new rally. However, currently, technical indicators and on-chain data suggest that the price may face increasing selling pressure as it approaches this level.
