Bitcoin (BTC) Long-Term Holder Distribution Begins, Watch Out for the Bears

By Bhushan Akolkar
Published November 13, 2021 Updated November 13, 2021
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Bitcoin (BTC) has already dipped below $60,000, but overall BTC price action suggests that the amazing 2017 bull run is still in play

Bitcoin (BTC) Long-Term Holder Distribution Begins, Watch Out for the Bears

By Bhushan Akolkar
Published November 13, 2021 Updated November 13, 2021

After hitting its all-time high of $69,000 earlier this week, the world’s largest cryptocurrency Bitcoin (BTC) has been moving sideways. As of press time, Bitcoin is trading 1.75% down at a price of $63,823 with a market cap of 1.203 trillion.

Some on-chain metrics show that long-term BTC holders have started with profit-booking and distributing their coins for the first time in six months. Sharing the graph of Long-Term holder distribution, popular crypto analyst Will Clemente explains:

Long-term holders buy BTC into weakness and sell into strength. We’ve just gotten our first red prints on LTH net position change in over 6 months, showing bull market distribution has begun.

Courtesy: Glassnode

On the other hand, the Bitcoin funding rate for long futures position has also calmed down across the board. This could be a sign of the slowdown in the bullish momentum going ahead. Another popular journalist Colin Wu explains that short-term holders resolved to profit-booking on Friday pushing the BTC price to a low of $62,300.

U.S. SEC Rejects VanEcks Spot Bitcoin ETF

On Friday, November 12, the U.S. Securities and Exchange Commission (SEC) announced that it has rejected the spot Bitcoin exchange-traded fund (ETF) run by VanEck. This ETF seeks to track the spot movement of the BTC price.

The rejection stands on the grounds of possible manipulation in the Bitcoin market. The application for the VanEck spot Bitcoin ETF was first filed back in March by the Cboe BZX Exchange. The U.S. SEC also said that VanEck hasn’t done enough to bring confidence that it could prevent fraudulent trading to protect investors.

The Bitcoin price is still trading 5% up since the beginning of November and is trading up nearly 10% on the monthly charts. While the charts show that long-term holders have been taking profits at this price, PlanB, author of the stock-to-flow model is confident that the BTC price can touch $98K by the end of November.

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Bhushan Akolkar
895 Articles
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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