The post Are Bitcoin sell-off fears real? $7B in unrealized profits suggests… appeared on BitcoinEthereumNews.com.

Bitcoin HODLing has climbed to impressive levels, with holders now anticipating higher prices. Worth assessing the potential risk in case of a major sell-off Bitcoin investors have been eagerly waiting for Bitcoin to reclaim the $70,000 price level. This can be evidenced by the massive amount of unrealized profits – A sign that BTC holders have been opting to HODL, in anticipation of higher prices. In fact, according to a recent CryptoQuant analysis, Bitcoin currently has over $7 billion worth of unrealized profits. This observation highlights the level of HODLing going on and the expectations of higher price levels. However, it also underscores the potential for a massive retracement if or when profit taking resumes. If Bitcoin holders starting taking profits off the table, the sell pressure may lead to an outcome similar to what happened towards the end of July. At the time, the price crashed hard in a matter of days. So far, the prevailing optimism has allowed BTC to hold on to its gains on the charts. At press time, Bitcoin was trading at $68,350, less than 2.4% away from hitting $70,000. The cryptocurrency also seemed to close in on the next resistance range between $69,400 and $71,500. Bitcoin flows fall to the lowest levels in 2024 Bitcoin exchange flows might offer us interesting insights into the crypto’s latest bullish wave. The latest uptick in both exchange inflows and outflows occurred between 13 and 16 October. However, exchange flows have since cooled down to their lowest levels this year. Source: CryptoQuant In fact, data showed that 3,760 BTC moved out of exchanges in the last 24 hours. Roughly 3,940 BTC moved into exchanges, which means exchange inflows were slightly higher than the outflows. Exchange flow swings suggest that BTC might be ready for a volatility resurgence. However,…

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Filed under: News - @ October 20, 2024 1:05 am