Glassnode Warns! "Bitcoin (BTC) Is Recovering, But Another Major Drop Could Happen!" Here's That Critical Level!

Bitcoin (BTC) experienced sharp declines until a few days ago. At that point, the price dropped to $80,000, but now, with a recovery, BTC has climbed above $90,000. While the surge has been driving the market, on-chain analytics firm Glassnode said in its latest analysis that the Bitcoin price is structurally vulnerable. At this point, Glassnode noted that BTC short-term investor losses have increased in recent days and therefore the BTC price runs the risk of falling below $81,000. In its latest analysis, Glassnode warned that the realized loss ratio of Bitcoin short holders (STH) has dropped to 0.07x. Stating that this situation indicates a significant contraction in liquidity and purchasing demand, Glassnode said that the STH realized profit/loss ratio is currently the clearest indicator of demand momentum. Glassnode also warned that if the STH churn rate metric remains at low levels for an extended period, it could mirror the pattern seen during the early 2022 bear market, potentially leading to a break below the $81,000 support level. ” STH realized profit/loss ratio fell below its neutral average (4.3x) at the beginning of October, falling to 0.07x. This preponderance of losses means liquidity is evaporating. If this rate remains low, the likelihood of Bitcoin falling below the $81,000 'Real Market Average' increases. Glassnode recently stated that for the current trend to reverse, BTC would need to regain the $100,000 to $105,000 range, which represents the STH realized cost price. *This is not investment advice. Continue Reading: Glassnode Warns! "Bitcoin (BTC) Is Recovering, But Another Major Drop Could Happen!" Here's That Critical Level!