{"id":661860,"date":"2024-12-13T04:00:15","date_gmt":"2024-12-13T04:00:15","guid":{"rendered":"https:\/\/wncen.com\/?p=661860"},"modified":"2024-12-12T17:24:11","modified_gmt":"2024-12-12T17:24:11","slug":"sell-bitcoin-when-this-happens-warns-analyst-heres-what-to-watch-for","status":"publish","type":"post","link":"https:\/\/wncen.com\/bitcoin-news\/sell-bitcoin-when-this-happens-warns-analyst-heres-what-to-watch-for\/","title":{"rendered":"Sell Bitcoin When This Happens, Warns Analyst\u2014Here’s What to Watch For"},"content":{"rendered":"
Bitcoin has shown a significant recovery, reclaiming the $100,000 milestone yesterday. It trades at $101,805, marking a 1.4% increase over the past 24 hours.<\/span><\/p>\n Amid this price performance, analysts have closely examined various metrics to gauge potential market movements, including identifying optimal cash-out moments. Meanwhile, recent data <\/span>reveals<\/span><\/a> intriguing patterns that could guide investor strategies.<\/span><\/p>\n One key insight shared by a CryptoQuant analyst, Onchain Edge, highlights a critical signal for when investors should consider reducing their Bitcoin holdings. Other metrics suggest a <\/span>resurgence in buyer activity<\/span><\/a>, reinforcing optimism in Bitcoin’s ongoing rally.<\/span><\/p>\n Onchain Edge emphasizes the importance of the BTC supply loss percentage as a marker for<\/span> peak market phases<\/span><\/a>. He notes that when this metric drops below 4%, it could signify the culmination of a bull market and the beginning of an overheated market phase.\u00a0<\/span><\/p>\n Currently, the current supply loss percentage stands at 8.14%, providing room for further price growth before a potential peak. The analyst warns, however, that failing to act at the right time during such peak phases could lead to substantial losses in a subsequent bear market.<\/span><\/p>\n Elaborating on his analysis, Onchain Edge encourages investors to consider dollar-cost averaging (DCA) out of their positions once the supply loss percentage breaches the 4% threshold.\u00a0<\/span><\/p>\n It is worth noting that this strategy by Edge could help mitigate the risk of holding through the transition into a bear market. Historically, peak bull run phases are characterized by significant profits among market participants, often followed by <\/span>sharp corrections<\/span><\/a>. Investors can protect their gains by exiting strategically while preparing for lower entry points during future market downturns.<\/span><\/p>\n Meanwhile, in a separate analysis, another CryptoQuant analyst known as Crazzyblockk<\/span> sheds light<\/span><\/a> on the behavior of takers on Binance, one of the largest cryptocurrency exchanges. Data from the Taker Buy\/Sell Ratio shows a shift toward aggressive buying activity.\u00a0<\/span><\/p>\n This metric, which compares the volume of buy orders filled by takers to sell orders, had experienced a period of negative monthly values, indicating a preference for selling <\/span>among market participants<\/span><\/a>.<\/span><\/p>\n However, the ratio has recently turned positive, signifying renewed interest from buyers. This trend suggests reduced selling pressure and growing optimism among traders about Bitcoin’s potential price increase.\u00a0<\/span><\/p>\n According to Crazzyblockk, sustaining this momentum is critical for maintaining the bullish trajectory, particularly as Bitcoin consolidates around the psychologically significant <\/span>$100,000 level<\/span><\/a>.<\/span><\/p>\nWhen Should You Cash Out Your Bitcoin?<\/h2>\n
BTC Buyer Activity Resurges<\/h2>\n