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bitcoin has reached new all-time highs for four consecutive days, reaching $99,500 just a few hours ago. The relentless rise has fueled extreme bullish sentiment in the market, with investors eagerly anticipating bitcoin's historic breakthrough of the $100,000 mark. However, on-chain data suggests the rally may face challenges as profit-taking signs emerge.
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Key insights from CryptoQuant reveal that long-term holders (LTH) are actively spending their bitcoin, capitalizing on gains of over 350%. This behavior indicates that some experienced investors are starting to lock in profits after the aggressive uptrend. Whale activity and profit-taking by LTHs could temporarily slow the rally, potentially triggering a consolidation phase before the next leg higher.
As long as bitcoin remains Before reaching the six-figure milestone, the market takes a closer look whether it can maintain its momentum or whether a pullback is imminent. Consolidation at these levels could provide the basis for btc to regain its uptrend and break the psychological barrier of $100,000.
bitcoin rally seems unstoppable
bitcoin is up an impressive 45% since November 5, showing relentless upward momentum that appears unstoppable. Despite increasing sales activity, demand continues to support the price, driving bitcoin to new highs and maintaining its bullish trajectory. Market participants are now closely watching for possible signs of a slowdown or correction as btc heads deeper into uncharted territory.
<a target="_blank" href="https://x.com/AxelAdlerJr/status/1859869565163012252″ target=”_blank” rel=”nofollow”>CryptoQuant analyst Axel Adler recently shared <a target="_blank" href="https://x.com/AxelAdlerJr/status/1859869565163012252″ target=”_blank” rel=”nofollow”>unknown data highlighting a significant trend among long-term holders (LTH). According to Adler, LTHs are actively spending their bitcoin, capitalizing on gains of over 350%. This marks a critical moment, as these holders are often considered market stabilizers and their selling activity could indicate potential shifts in sentiment.
Adler further notes that if the price of bitcoin exceeds $119,000, LTH's profits would skyrocket to over 500%. These extraordinary earnings levels could trigger a wave of selling pressure, which could lead to the first major correction after this unprecedented rally. However, he emphasizes that predicting an exact price for a correction remains speculative, as there is noThere is a definitive threshold to determine when LTHs could overwhelmingly exit their positions.
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While the rally shows no signs of slowing down, this dynamic between LTH demand and profit-taking underscores the importance of monitoring market behavior. Traders should remain cautious as bitcoin's rapid rise unfolds.
btc about to reach $100,000
bitcoin is trading at $98,600, less than 2% from the highly anticipated $100,000 mark. This psychological level is expected to be a major supply zone, and many investors are closely monitoring price movements around this milestone. The recent “bullish only” price action has left little room for traders to buy at lower levels, frustrating those hoping to accumulate during dips.
If bitcoin holds above the crucial $93,500 support level in the coming days, market sentiment suggests a powerful rally above $100,000 could ensue. Breaking this barrier would likely result in further bullish momentum, pushing bitcoin into uncharted territory and fueling optimism for additional gains.
However, failure to hold support at $93,500 could trigger selling pressure, resulting in a price pullback. In such a scenario, bitcoin could test areas of lower demand, with $85,000 and $80,000 identified as key levels to watch. These zones could provide new accumulation opportunities for investors looking to capitalize on price corrections.
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As bitcoin approaches this all-time high, the coming days will determine whether the market maintains its bullish trend or enters a consolidation phase. Traders and investors must remain vigilant as btc goes through this critical juncture.
Featured image of Dall-E, TradingView chart
