Bitcoin’s Short-Term Holder Activity

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Bitcoin has been on a tear as of late, with short-term holders jumping back in and buying up BTC like it's about to soar. But not me. Not just yet, at least.

Sure, demand from short-term holders is increasing. That's usually a good sign. In fact, according to Axel Adler Jr., the 30-day change metric for those holders has been in the positive column for 18 days running.

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15% growth, increasing day by day, and all that jazz. What if this is just a transient blip in an otherwise highly volatile market? Wouldn't be the first time Bitcoin showed promise and then disappointed people. The 32% leveraged volume also isn't very comforting, with the risk of spiraling if the number shoots up to 55% or higher.

The upcoming all-time high.

Events like the U.S. election or a Fed rate cut could add new highs to Bitcoin, according to Michael Van De Poppe. But again, I'm not so convinced because the periods of consolidation will come, and with the market still weak, there's no guarantee we won't see another drop before any real gains happen.

So, all of this might sound pretty promising superficially, but I wouldn't count on record-breaking Bitcoin just yet. It's one thing to feel optimistic, and it's a whole different story not to take even a glimpse at the risk.

Posted Using InLeo Alpha



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