Bitcoin faces potential near-term selling pressure as on-chain data from CryptoQuant reveals that short-term traders' unrealized profit margins have climbed to a 21-month peak.
CryptoQuant warns that short-term traders' unrealized profit margin at a 21-month high suggests an increased likelihood of a near-term bitcoin correction.
Bitcoin faces potential near-term selling pressure as on-chain data from CryptoQuant reveals that short-term traders' unrealized profit margins have climbed to a 21-month peak. This elevated level historically signals an increased probability of a market correction as participants look to lock in gains.
When short-term traders hold significant unrealized profits, the incentive to sell and lock in those gains increases, which can create downward price pressure on the asset.