$BTC
What to expect from Bitcoin (BTC) price in February 2025?
The Bitcoin price has been in a consolidation phase, which at first glance may appear bearish. However, this setup actually indicates bullish potential.
The cryptocurrency has received strong support from its long-term holders (LTHs), a key group that typically influences major market movements. With this support, BTC appears poised to surge.
Bitcoin investor resilience is key
:The Value Destroyed Days Index (VDDM) is a crucial indicator for tracking Bitcoin market trends. It compares short-term spending to annual averages, with high values (above 1.4) indicating a hot market. Extreme values (above 2.9) have historically been indicative of cycle tops, signaling potential corrections.
Currently, the VDDM sits at 1.22, indicating a different market structure than previous cycles.
Unlike previous bull runs, Bitcoin’s spending volume remains relatively under control despite hitting new all-time highs (ATHs). This suggests a more sustainable rally, reducing the risk of a flash sell-off. With no extreme highs in VDDM, Bitcoin has room for further growth, supporting the argument for a continued uptrend in the near future.