- Analyses comparing the realized price of new short-term holders and long-term holders of BTC, excluding miners and exchanges.
- BTC maintains support at $89.2K, long positions may gain traction, possibly triggering an upward breakout.
The cryptocurrency market remains highly dynamic, requiring investors to interpret key data for informed decisions. In fact, a recent analysis highlighted that the realized price of new Bitcoin (BTC) whales stands at $89.2k on the charts.
Strengthening support levels
Here, it’s worth noting that these analyses compared the realized price of new short-term holders (STH) and long-term holders (LTH) of BTC, excluding miners and exchanges.
Source: CryptoQuant
The realized price of new whales at $89.2K establishes a robust support level. Especially as these investors have shown resilience in maintaining their positions.
This strengthens BTC’s consolidation on the charts, while also reducing sell-side pressure and providing stability in a volatile market. The presence of these strong-handed investors means that BTC may sustain its press time levels or even record upward movement as long as it remains above this threshold.
Is Bitcoin ready for a turnaround?
Recent price trends hinted at a downtrend on BTC’s charts, with its price hovering around $96,110 at press time. This, although the MACD indicator underlined bearish momentum with a histogram value of -334.0 – A sign of sellers’ dominance.
Source: CoinGlass
However, the realized price of new whales at $89.2k remains a critical psychological support, potentially preventing further declines.
If BTC holds above this level, traders may gain confidence, leading to a possible price stabilization or reversal. Given this backdrop, monitoring price action relative to this support level will remain essential for market participants.
Balancing caution and optimism
Examining the CME BTC Futures Open Interest, there has been a noticeable hike in market activity – A sign of heightened speculation and positioning.
Source: CoinGlass
A hike in Open Interest during periods of price consolidation hinted that traders have been preparing for a significant move, either upwards or downwards.
If Bitcoin maintains support at $89.2k, long positions may gain traction, possibly triggering an upward breakout. Conversely, failure to sustain this level could invite further downside pressure – Making it a key zone for future price action.
Market sentiment through Long/Short ratios
Finally, the BTC Long/Short Ratio chart from Binance offered some insights into trader sentiment. While fluctuations persist, a relative balance with a slight preference for long positions means cautious optimism across the market.
Source: CoinGlass
This sentiment seemed to be in line with the stability around the $89.2k support level, where traders are neither overwhelmingly bullish nor bearish.
The presence of a strong support zone allows for strategic positioning. Especially with many market participants waiting for clearer confirmation before committing to significant directional trades.
While short-term price fluctuations may persist, the ability of BTC to hold above this level may set the stage for renewed bullish momentum.
