Although Bitcoin rose by 32 percent at the end of April to a 10-week high of $79,500, it retreated to $76,000 after this rally. The $80,000 level stood out as a formidable resistance point for the price. In recent days, sales by short-term investors and Bitcoin ETFs have been limiting price increases.
Critical resistance zone above $80,000
As stated by experts, the strong resistance between $ 78,000 and $ 79,000 was effective behind the halt of Bitcoin’s rise. This zone overlaps with the True Market Mean and the cost zone of short-term investors. When the price reached this point, investors who had recently purchased mostly preferred to protect their profits by closing their positions.
In the latest report prepared by Glassnode, it was pointed out that this behavior is generally seen in bear markets. According to the company’s analysis, selling pressure increased and upward momentum slowed as the price approached breakeven costs for the sensitive investor base.
“This behavior points to the classic pattern in bear markets, where the willingness of the sensitive investor group to close positions as the price approaches the cost level exceeds the demand of new buyers and weakens the rise.”
On-chain data reveals that approximately 475,301 Bitcoins are held at an average cost in the $77,800–$80,880 range. This increases the resilience of the region in question for the coming period.
Short-term investors and the impact of ETF outflows
When investor behavior is examined, it appears that short-term holders and ETF investors have turned the recent rally into a selling opportunity. All eyes are still on the BTC/USD parity above $80,000; Technical analysts emphasize that turning this level into a strong support is essential for higher peaks. Although Bitcoin has retraced its 50 and 100-day moving averages, technical experts say
“The price is showing strong recovery signals one after another, but $80,000 must be exceeded for a permanent rise.”
shares his comment.
Profit taking by short-term holders is also supported by data. It was observed that the 24-hour short-term holders’ realized profit average reached $4 million per hour when the price approached $80,000. On April 15, this rate rose to $7.2 million at its peak. This reveals that short-term investors have seriously increased the selling pressure in the last rally.
Consecutive outflows from ETFs
There has been an outflow of $390 million in US spot Bitcoin ETFs over the last three days. This was the longest breakout streak since March 20. Similarly, on that date, the BTC price fell by 11.5 percent and encountered resistance at $ 76,000.
Wise Advise’s analysis team evaluated the re-emergence of outflows in ETFs after a nine-day inflow series as an important indicator that “the local peak has been reached”. According to Cointelegraph, Bitcoin exceeding $ 80,000 will mean that the bulls will take full control, and $ 84,000 will stand out as the next important resistance point.
Experts emphasize that if the price cannot overcome these resistances in the short term, the upward movement may be delayed and the selling pressure in the market may continue.
