Bitcoin Short-Term Holders Profit Despite Persistent Loss-Taking, On-Chain Data Shows

yesterday / 13:02 3 sources neutral

Key takeaways:

  • Persistent realized losses above $200M suggest distribution by underwater holders, capping Bitcoin's upside.
  • STH cost basis at $79K flips to support, but a break below would trigger panic selling.
  • Monitor daily realized loss drop to baseline as a signal of true buyer conviction returning.

The Bitcoin price has recently surged above a critical on-chain level, pushing short-term holders (STHs) back into profit. According to data from BitcoinMagazinePro, BTC broke above the STH Realized Price, which sits at approximately $79,000. This metric tracks the average cost basis of investors who acquired coins within the last 155 days. When spot price exceeds this line, it historically signifies a bullish phase, as STHs are less likely to sell at a loss.

However, on-chain analytics firm Glassnode reveals that despite the rally, the network continues to see significant realized losses. The 14-day SMA of Bitcoin Realized Loss currently stands at $479 million per day, about 140% above the $200 million baseline observed during stable cycle phases. This indicates that many investors are still selling their coins at a loss, possibly fearing that the price uptrend may be unsustainable. A sustained drop below $200M per day would be a strong signal of selling exhaustion and a healthier demand regime.

The conflicting signals highlight a cautious market: while STHs are back in the green, the overall high loss-taking suggests broader skepticism. Bitcoin is now trading around $80,100, up over 5% for the week.

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