The top crypto asset Bitcoin ($BTC) has recently seen a crucial development. As per the data from Glassnode, Bitcoin ($BTC) has shortly reclaimed its Short-Term Holder Cost Basis at $92,700 after a slight decline from this level. The blockchain analytics firm discussed the ongoing price performance of Bitcoin in an exclusive X post.
Bitcoin Again Dips After Briefly Touching Short-Term Holder Cost Basis at $92,700
Glassnode’s data indicates that Bitcoin’s current price is moving around the $92,700 mark which is its Short-Term Holder Cost Basis. The crypto asset has briefly reclaimed the respective level just to see a slight dip afterward. This development signifies an intricate equilibrium between the bearish and bullish pressures. In addition to this, the Short-Term Holder Market Value to Realized Value (STH MVRV) is sitting at 0.99. This metric indicates short-term profitability. The current position thereof is below 1. Hence, a great number of short-term holders have reportedly purchased Bitcoin at an increased price in comparison with the present market value.
Based on the historical trends, when STH MVRV plunges below 1, the selling pressure spikes. A potential reason behind this is the likely capitulation by weak-handed investors to decrease losses. Nonetheless, if the top crypto asset can reclaim its STH Cost Basis, there is a possibility for it to renew bullish momentum. The latest statistics suggest the continuous fragility of the market while sentiment is hanging between fear and optimism.
Sustenance of Price Above Short-Term Holder Cost Basis Could Trigger Begin Rebound
According to Glassnode, if Bitcoin gives up on reclaiming its short-term holder cost basis, the market could witness more downside pressure. This could likely push Bitcoin price to further lows while investors quit losing positions. However, a successful reclaiming and sustenance above this level could lead to a massive rebound, boosting investor confidence.
