As macro tailwinds lift bitcoin , two distinct groups of investors are selling into strength, potentially slowing the ascent.
The first are long-term holders, which Glassnode defines as addresses/wallets that tend to hold for at least five months. Long-term holders, who bought near highs last year, are capitulating, or using the bounce to sell their coins at a loss rather than holding through deeper drawdowns. This signifies a lack of confidence in the sustainability of the latest BTC price rise.
Suggesting the same are short-term holders, who scooped up coins near the recent lows. They are currently realizing profits at a pace exceeding $4 million per day in a selling wave reminiscent of what was seen in May, when BTC briefly rose to its 200-day average above $82,000.
The result? Simultaneous selling from both is likely creating overhead supply exactly as the market tries to break higher. It's an indication that conviction remains shaky among those still underwater from earlier in the cycle.