As Bitcoin investors realize $1 billion in daily profits, analysts suggest the bull market may be approaching its final stages.
Bitcoin's $1B Daily Profits Signal Potential Bull Market Climax
#bitcoin (#BTC ) investors are currently realizing approximately $1 billion in profits daily, a level reminiscent of late-stage bull markets. This surge in profit-taking coincides with BTC's price nearing $98,000, raising concerns about a possible market correction.
On-chain analytics firm CryptoQuant reports that the 7-day moving average of realized profits has reached levels last seen in late 2024. Analyst Kripto Mevsimi notes that such aggressive profit-taking is historically consistent with the final phases of bull markets, where selling pressure increases even as prices climb.
Despite the influx of institutional investors through spot Bitcoin ETFs, such as #blackRock iShares Bitcoin Trust, CryptoQuant suggests that investor behavior remains unchanged. The tendency to lock in gains during price surges persists, indicating that market psychology continues to play a significant role in #Bitcoinprice dynamics.
While the current profit-taking trend doesn't guarantee an immediate downturn, it serves as a cautionary signal. Investors and analysts alike are closely monitoring these developments, recognizing that sustained high levels of realized profits have historically preceded market corrections.