DeutschAfter the spectacular all-time high of around $123,000, the Bitcoin rally has come to a standstill. The market is at a standstill, investors seem exhausted – both buyers and sellers. According to a recent analysis by on-chain data provider Glassnode, the cryptocurrency is currently in a critical phase of reorientation. The price has noticeably retreated after the record high. But instead of a clear direction, uncertainty now dominates.
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“The market is in a pause”, according to the latest Glassnode report. Bitcoin has entered a consolidation phase after the record high, a kind of “breather” after weeks of price rally. However, this calm does not hide the growing nervousness – especially since, according to Glassnode, both buying interest and selling pressure have recently decreased significantly.
Bitcoin in Pause Mode after All-Time High
A key warning signal: Market participation is declining significantly. Spot trading volume has fallen to $8.6 billion – a low that shows how reluctant investors are behaving. In addition, there is a significant decrease in the RSI (Relative Strength Index) from 74.4 to 51.7 points. This value indicates a decrease in upward momentum and reflects the decreasing purchasing power in the market.
“Both buyers and sellers are showing signs of fatigue”, the experts analyze. Although Bitcoin quickly finds buyers on pullbacks, it lacks the strength for sustainable upward movements. The result: a sensitive market equilibrium that could quickly tip over due to macroeconomic or political events. Glassnode therefore clearly warns: “Despite the current calm, there is a not to be underestimated downside risk.”
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In addition to the declining fundamentals, the analysts are registering an increase in short-term investors. The proportion of so-called short-term holders (STH) is growing compared to long-term holders (LTH). More money is coming into the market with the aim of making quick profits – which could lead to higher volatility.
Risk Present with BTC and Co.
“The proportion of short-term capital is increasing”, according to Glassnode. Investors who enter without long-term confidence increase the speculative nature of the market. Especially in a phase of uncertainty, this can lead to hectic fluctuations – in both directions.
According to the report, Bitcoin is currently at a tipping point. The market is calm, but under tension. A phase that can be dangerous for both traders and long-term investors. The developments of the coming days could be decisive – whether the market picks up again or slips into a deeper correction.
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Conclusion: The air upwards has become thinner. The euphoria has given way to cautious restraint. The Bitcoin market is struggling for orientation – and remains vulnerable. Anyone who enters or remains invested now needs not only nerves, but also a clear understanding of the increasing risk. (mck)
