Bitcoin Short-Term Holder Behavior Reminiscent Of 2019 As BTC Remains Below $60,000
04 Setembro 2024 - 5:00PM
NEWSBTC
A recent Quicktake analysis on the on-chain analytics platform
CryptoQuant highlighted how Bitcoin’s short-term holders’ (STH)
behaviour is similar to that of 2019. This analysis comes as
Bitcoin remains below $60,000, continuing the bearish September
trend. Peak In Bitcoin’s Short-Term Holders Similar To 2019
Structure CryptoQuant contributor Avocado_onchain noted that there
had been a “small peak” in Unspent Transaction Outputs (UXTOs)
under six months, which resembles a similar structure observed in
2019. The analyst explained that these UXTOs under six months are
new investors (or short-term holders) who entered the market around
March of this year when Bitcoin’s price hit a new all-time high
(ATH). According to the analyst, the declining
proportion of these UXTOs suggests that these investors have either
exited the market due to Bitcoin’s choppy price action since March
or have held and now transitioned to long-term holders (UTXOs of
six months and above). The accompanying chart showed that a similar
structure occurred around the halving event in 2019 when Bitcoin
also reached a local high. After that, Bitcoin’s price cooled off
and took almost 490 days to hit a new ATH, although Avocado_onchain
noted that there was also the impact of the COVID-19
pandemic. This development undoubtedly provides insights into
what Bitcoin investors could expect from the flagship crypto in the
long term, even though its price remains choppy. Avocado_onchain
remarked that he is confident about Bitcoin’s long-term upward
trend. However, in the short term, he believes it will be wise for
investors to “temper expectations and closely monitor the market.”
Meanwhile, although the analyst admitted that there is no clear
trigger for a Bitcoin breakout, he noted that the influx of capital
from new investors has historically been vital for Bitcoin’s price
increases. Bitcoin hit a new ATH in March following the launch of
the Spot Bitcoin ETFs, which introduced new money into the Bitcoin
ecosystem. Bitcoin Looks To Continue Bearish September Trend
Bitcoin looks to continue its bearish September trend this year,
with the flagship crypto already down by over 4% since the month
began. Historically, September is known to be a bearish month, as
data from Coinglass shows that Bitcoin has suffered a monthly loss
in six out of the last seven September, dating back to 2017.
Related Reading: Major Dogecoin Indicator Flashes Bullish, Is It
Time To Buy? Following his simulation of Bitcoin’s price for this
month, CryptoQuant’s Head of Research, Julio Moreno, mentioned
that, on average, the flagship crypto could end the month at
$55,000. Moreno had earlier mentioned that a drop below
$56,000 for Bitcoin puts the crypto at risk of a deeper price
correction and entering a prolonged bearish phase. For now,
the crypto community hopes that the US Federal Reserve will cut
rates at its next FOMC meeting, which is scheduled for September 17
and 18. A rate cut is believed to be one that could trigger
Bitcoin’s price and lead to a successful breakout above
$60,000. At the time of writing, Bitcoin is trading at around
$56,400, down over 4% in the last 24 hours, according to data from
CoinMarketCap. Featured image created with Dall.E, chart from
Tradingview.com
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