Bitcoin investors are currently realizing substantial profits, averaging $1 billion per day, as prices surge, raising concerns about a potential stall or reversal in the bull market. Recent research from CryptoQuant highlights this behavior, relating it to previous market patterns observed in late 2024 when Bitcoin reached and surpassed previous all-time highs. The increase in profit-taking is noted to be historically consistent with late-stage bull market dynamics. Despite the influx of institutional investment, particularly from U.S. Bitcoin exchange-traded funds (ETFs), analysts assert that investor psychology remains largely unchanged. They predict that this phase is often followed by a local top or a sharp correction in price if profit-taking persists. Consequently, the market's current movements resemble those from early 2021, suggesting a cautious outlook for continuing market growth amid high profit realizations.

Source 🔗