Bitcoin's top buyers, who purchased the cryptocurrency around its all-time peak of $109,000 in January, are now panic-selling due to a market decline. Onchain analytics firm Glassnode reports a significant sell-off by these investors has led to a moderate capitulation event, with short-term holders experiencing unrealized losses. The average purchase price for Bitcoin held less than 155 days rose from $62,000 to $91,362, leaving many deeply underwater between $71,300 and $91,900. Given this scenario, Glassnode warns that Bitcoin might drop to as low as $70,000 if selling continues. Recent trends indicate negative market momentum and decreased demand strength. Despite a temporary spike of 7.5% on March 11, predictions suggest that Bitcoin could retest the $78,000 level and could potentially fall to $75,000 if that support fails. Historical sell-off patterns and investor sentiment amid economic uncertainties play a significant role in this current market situation.

Source 🔗