Are Bitcoin long-term holders starting to distribute while the bull market still has potential?
Bitcoin long-term holders (LTH) are entering a large-scale distribution phase, having sold off Bitcoin equivalent to half of all ETF holdings, leading to increasing selling pressure. Nonetheless, the Alpha Savior indicator suggests that the bull market may last at least another two months.
Key data and technical analysis:
• Coin Days Destroyed (CDD) surge → Warning of potential selling pressure
• SOPR shows bearish signals → Indicates increased profit-taking pressure
• Alpha Savior indicator has not reached a top signal → Prices may continue to rise
• LTH sell signal → May indicate a critical phase of the market cycle, but the bull market may not be over
On-chain indicator interpretation:
• The CDD surge is related to the movement of older Bitcoin tokens, usually a precursor to a short-term correction.
• The bearish signal in SOPR in the short term suggests increased selling pressure, requiring cautious operations.
• The Alpha Savior has yet to give a top signal, which may still support Bitcoin's continued rise.
Expert opinion:
Market analyst Joao Wedson states that although LTH is distributing, the Bitcoin bull market will last at least another two months, and altcoins may further rise during this period.
Future trends:
Historical data shows that a surge in CDD typically approaches market tops, but the Alpha Savior indicator has not reached the warning line, indicating that Bitcoin may still have room to rise.
Conclusion:
The distribution behavior of Bitcoin long-term holders may signal the later stages of a cycle, but technical indicators and expert analysis suggest that the bull market cycle may not yet be over, with still room for upward movement.
Stay alert to on-chain signals and technical indicators to make informed decisions!
