Long-term holders support the bottom of Bitcoin.
Long-term holders (LTH) of Bitcoin are quietly changing the market structure. According to NUPL (Net Unrealized Profit and Loss) data, investors entering in December 2024 are gradually becoming LTH, indicating that they have held for over 155 days.
This type of holder is usually less affected by market fluctuations, thus having a lower willingness to sell, providing stable support for the market.
The spread of a long-term holding mentality means that impulsive trading and short-term volatility are weakening, thus strengthening Bitcoin's price resilience and building a layer of 'stability shield' for the entire market.
Is the shift to bearish sentiment actually a good signal?
Data shows that the overall market sentiment is currently bearish, but historical experience tells us: the most pessimistic sentiment often signals the start of a market rally. As panic sentiment rises, some investors begin to position themselves, expecting a rebound after a bottom formation.
Meanwhile, Santiment data shows that Bitcoin's social activity is on the rise, reflecting that despite weak sentiment, attention has not diminished, indicating that funds may return at any moment.
Technical perspective: The battle between bulls and bears at the 105K mark.
Currently, Bitcoin is fluctuating in the range of $102,734 to $105,000, with short-term resistance coming from the $106,265 mark. If it can effectively break through this point and stabilize, it will open up space for an assault on $110,000, and may even challenge historical highs.
It is worth noting that last week Bitcoin rose by 11%, showing that strong momentum is still building. However, if it consolidates for a long time, the market's patience may be exhausted, and impatient investors may choose to take profits, putting pressure on the price to test the key psychological level of $100,000.
Conclusion: Breaking through 110K depends on these two key points.
The Bitcoin market is currently at a critical crossroads. The continuous increase of long-term holders has strengthened the bottom support; while the pessimism in market sentiment sharply contrasts with the potential return of buyers.
If it can break through the resistance at $106,265, Bitcoin is expected to welcome a new round of breakout; conversely, if it falls below the support at $102,734, it may retract to the significant psychological level of $100,000.
