Bitcoin ‘Weak Hands’ Sell 15K BTC at a Loss: Are BTC Lows Under $100K Next?
This week, short-term Bitcoin holders sold 15,000 BTC at a loss. On-chain data points to a possible price floor for Bitcoin around $97,000 to $94,000. Market dynamics indicate that while STH activity has increased during downturns, LTHs are absorbing much of this selling pressure, which helps stabilize prices above $100,000.
Bitcoin (BTC) is traversing a notably quiet week, largely due to escalating tensions between Israel and Iran, alongside looming uncertainties ahead of the Federal Open Market Committee (FOMC) meeting. This hesitation from traders and investors has fueled certain movements in the market. Recent on-chain data from CryptoQuant revealed an interesting development this week, as short-term holders (STHs) sold off over 15,000 BTC, primarily at a loss.
To break this down: on Monday alone, 959 BTC were sent to exchanges at a loss. By Wednesday, that number escalated to 16,700 BTC as BTC’s price fell from $106,500 to $103,500. This pattern illustrates a recurring trend where STHs, often referred to as “weak hands,” panic during market declines, frequently selling off their holdings and realizing losses.
The surge in sales has highlighted increased activity among short-term holders during recent dips. As these weaker hands bail out of their positions, the coins typically transition into the possession of long-term holders (LTHs), or “strong hands.” This transition can stabilize markets, creating a firmer price base in the process. It’s worth noting that the overall supply held by STHs has been shrinking, particularly after notable drawdowns, signaling potential opportunities for accumulation.
Data from the STH-LTH net position change chart reveals widespread selling by STHs over the past month, which has been largely absorbed by LTHs. This dynamic appears crucial in ensuring that BTC maintains its value above the $100,000 threshold. Despite this resilience, Bitcoin is currently being characterized as residing within a “blind spot” in the market, according to analysis from Swissblock.
The data indicates a consistent negative spot volume delta ongoing since June 2025. This signals an underlying selling pressure, even amidst any recent price recoveries that result from low buying activity. Although this downside pressure seems to be easing, it hints at the potential for further dips before any significant recovery can occur, hinging on renewed demand.
For those keeping an eye on the technicals, Bitcoin’s on-chain cost basis for short-term holders indicates a support range between $97,000 and $94,000. Observing this range is crucial, as it could suggest a local bottom, which would sweep through important liquidation levels under $100,000, and reactivate the fair value gap and daily order block in the specified region.
As a closing note, it is crucial to remind our readers that this article does not provide any investment advice. Each trading decision involves inherent risks, and it is recommended that readers conduct their own comprehensive research before deciding on their investments.
In summary, Bitcoin is experiencing significant short-term selling pressure, particularly from weaker hands that are liquidating positions at a loss. This activity may lead to a price floor between $97,000 and $94,000, placing the cryptocurrency in a delicate balance of demand and resistance. As the market observes these developments, the resiliency from long-term holders remains essential in preserving the BTC price above $100,000. All investment decisions should be made with caution and thorough analysis.
Original Source: cointelegraph.com
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