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Since September is often perceived as a negative month, Bitcoin, begins, a cryptocurrency expert has indicated that the digital asset is at risk of prolonged selling pressure amid recent market volatility and uncertainty. Recent data suggests that negative sentiment is growing as more investors may be looking to sell their BTC in response to the turbulent market conditions.
Will Bitcoin Experience Prolonged Selling Pressure?
In a despondent study, Ali Martinez, a popular market analyst and trader, underlined continued selling pressure on Bitcoin, the largest cryptocurrency.
Martinez bases his prediction on Bitcoin Tiny-Term Holder Realized Price, noting the prolonged bearish movement around the metric, especially over the past two months. This development has sparked speculation in the cryptocurrency community about the coin’s prospects in the tiny term.
It is worth noting that the behavior of recent Bitcoin purchases can be estimated using the Tiny-Term Holder Realized Price. Given their increased propensity to sell if the price falls below their entry point, this metric serves as resistance during downtrends.
According to the expert, Bitcoin has trouble rising above this level from 2022, currently at $63,250. Therefore, unless the crypto asset reclaims this region as a support range, Martinez believes that there is a chance that sales pressure will continue, suggesting negative behavior of BTC in the tiny term.
In particular, if key support levels are broken, there could be further declines in BTC prices due to this selling pressure. This is why the market expert urged investors Be extra vigilant in such times as it could lead to further losses in the market.
If this September brings a bearish streak prospects for BTCThis development could spur selling pressure due to negative month-on-month price movements of digital assets over the past 10 years.
BTC Hot Supplies Reach $60,000 Price Level
While the realized price by the short-term holder shows a bearish trend, Martinez, considering the realized price of Hot Supply for BTC, illuminated potential start of an extended bear market in another post on Platform X (formerly Twitter).
When Bitcoin rises above the price of the realized toasty supply, it indicates a positive growth sign. Meanwhile, when it falls below the level, it suggests a prolonged bear market in the near term.
According to Martinez, this level is currently $66,000, and if BTC stays below this level, Martinez emphasizes that a strategic approach is necessary bullswhich may suggest a broader, bearish sentiment.
The market’s ability to accommodate sell offers without exposing itself to gigantic price declines will be a key factor in determining BTC’s near-term direction as investors and traders should remain cautious.
Featured image from Adobe Stock, chart from Tradingview.com