Bitcoins
Journalist
Posted:
Bitcoin’s [BTC] recovery efforts haven’t been totally successful lately. In the last 8 days, Bitcoin has tested the $94k local resistance twice.
Both times, it failed to break through. As things stand, the higher timeframe trend remains bearish for the world’s largest cryptocurrency, despite the uptick from $84k over the last three weeks.
In a post on X, analyst Darkfost explained that the lack of incoming liquidity might be the biggest issue holding BTC back. Stablecoin inflows to exchanges have fallen by 50% since August. It meant that there has been a lack of steady demand for Bitcoin to drive the prices higher.
Other on-chain metrics showed that short-term holders have been suffering and may be in no position to drive a market recovery.
Bitcoins Short-term BTC holders are still in the real pain zone
A post on CryptoQuant Insights explained how the short-term holder cohort may be experiencing its deepest loss regime of 2025. They have been holding losses, which suggested that each Bitcoin price bounce offered an opportunity to sell.
Underwater holders willing to sell the bounce, combined with the dwindling demand, could be tough obstacles for the bulls.
The 24-hour sum of STH holdings sent to exchanges is another way to keep track of trends. During an uptrend, losses from STH will be minimal. During a downtrend, holdings tend to be at a loss in greater numbers.
Over the past month, the lack of an upward trend shift combined with strong profit-taking activity. The price bounce in mid-October saw fewer BTC sent at a profit to exchanges – A sign that there was confidence of further gains.
Since 27 November, the spikes in STH profit-taking have underlined the statement made earlier. Market sentiment is fearful, and each price bounce is for selling.
There may be an argument that the current market phase is stabilization, and not outrightly bearish. Thus, the developments of this cycle mean that a full-blown winter is unlikely.
Bitcoins Final Thoughts
- The lifeblood of crypto markets, stablecoins saw reduced inflows to exchanges to reflect a fall in demand.
- Metrics revealed that short-term holder behavior has shifted into a “sell-the-bounce” mentality.
Akashnath S is a Senior Journalist and Technical Analysis expert at AMBCrypto. He specializes in dissecting price action, identifying key market trends through advanced chart patterns, and forecasting both short-term and long-term asset trajectories.
His distinct analytical method is grounded in his academic training as a Chemical Engineer. This background provides him with a systematic, process-oriented approach to market data, enabling him to analyze the complex dynamics of financial markets with precision and objectivity.
Having actively covered the cryptocurrency space since the landmark 2017 market cycle, Akashnath possesses years of experience navigating both bull and bear markets. This seasoned perspective is critical to his insightful reporting on market volatility and evolution.
As an active market participant, Akashnath enhances his analysis with crucial, hands-on experience. This practical application of his technical skills ensures his insights are not merely theoretical, but are also relevant and actionable for an audience looking to understand and navigate trading opportunities. He is dedicated to educating readers on the nuances of technical analysis, empowering them with the knowledge to make more informed financial decisions.
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