Navigating Bitcoin’s price drop – What next after a 3% slump in 24 hours?
Key Takeaways
Why did Bitcoin see elevated volatility prior to now 24 hours?
The worth of Bitcoin dipped by 3% over the previous day attributable to promoting from long-term holders and a brief pullback earlier than the FOMC assembly.
Why is the $110k help important?
It was the realized worth for the 3-6 month age band, and this realized worth was being retested for the third time in ten days.
Over the previous 30 days, long-term holders (LTHs) have shed 325,600 Bitcoin [BTC], famous crypto analyst Maartun.
In a post on X (previously Twitter), the analyst revealed that this was the sharpest month-to-month drawdown since July 2025.
The promoting stress from long-term holders was not what buyers could be hoping for after the liquidation occasion of the tenth of October.
A latest AMBCrypto report confirmed that 270k Bitcoin, which had been dormant for 7+ years, had moved in 2025.
This was probably pushed largely by profit-taking exercise from LTHs. Some motion was additionally doable for safety functions or inside reorganizations.
With BTC costs above the $100k psychological stage for the reason that twenty fourth of June, a run of 128 days, the profit-taking tendency revealed weakened LTH bullish conviction.
Analyst Maartun noticed a flurry of motion from cash dormant for 3-5 years, which was the third such spike in simply the previous two days. In the newest uptick, 4.7k BTC have been moved.
Will this sustained promoting pressure Bitcoin right into a downtrend?
In a CryptoQuant Insights submit, analyst Darkfost pointed to the elevated spot buying and selling quantity as an indication of market well being.
After the violent deleveraging earlier in October, an elevated spot buying and selling quantity was a welcome signal that buyers see leverage as dangerous.
A spot-driven rally could be stronger and fewer risky than one which pulls in numerous speculative curiosity and excessive Open Curiosity.
The build-up of liquidation ranges across the worth would induce liquidity hunts and better volatility.
Nonetheless, given the range-bound worth motion of Bitcoin, market contributors should keep in mind that excessive spot quantity doesn’t mechanically equate to purchaser dominance.
On the time of writing, Bitcoin was testing the realized worth of $110.1k (cyan) for the 3-6 month age band. This was a vital help stage, and has already been examined twice earlier than throughout the previous ten days.
A worth transfer under $110k by the Thursday each day session shut could be an alarming short-term sign.
The following realized worth help (yellow), for buyers who purchased and held BTC prior to now 6–12 months, is at $93.3k. This marked it as an necessary on-chain help stage to observe.
