The post Bitcoin’s Long-Term Holders Become Greedy As BTC Flashes Upward Volatility At $26,500 appeared first on Coinpedia Fintech News

Over the last few hours, Bitcoin price has taken the spotlight as it flashes extreme upward volatility near resistance levels. BTC surged beyond the $26,800 mark but made extreme selling pressure at this point. This swing unveiled interesting on-chain trends, as long-term holders seemed to leverage Bitcoin’s rising volatility. As Bitcoin is now again flashing a surge, long-term holders are becoming greedy.

Long-Term Holders Become Bearish

When BTC couldn’t sustain trading above the $26,800 level, long-term holders took the moment to lock in their gains amid rising volatility. Consequently, Bitcoin’s price experienced a decline, plunging below the $26,300 mark in just a few hours.

With Bitcoin’s price on the upswing once again, long-term holders are showing greed and liquidating their assets. Glassnode data indicates that Bitcoin’s Average Spent Output Lifespan (ASOL) (7D MA) has rocketed to a one-month peak of 31.144.

ASOL offers a more in-depth view of overall Bitcoin spending habits. It typically rises with market fluctuations and shifts in market mood and framework, especially when older, inactive coins re-enter circulation. A rising value currently indicates that a significant portion of Bitcoin network activity involves the spending of older coins, often linked to long-term holders capitalizing on intense market fluctuations. These high metric readings arise when a vast segment of aged coins becomes active, possibly securing profits.

Additionally, the count of Bitcoin’s spent outputs aged between 2 to 3 years has reached a one-month high of 160.726. This suggests that coins within this age bracket are currently moving on-chain, indicating a sell sentiment among long-term holders amidst Bitcoin’s fluctuations. Such movements might apply downward pressure on the asset, creating strong resistance levels on its graph.

What’s Next For BTC Price?

Bitcoin is currently experiencing a tug-of-war between buyers and sellers around the 200-day exponential moving average, priced at $26,666. After BTC’s price dropped to a low of $26,300, it faced a surge in buying interest, triggering another surge toward resistance levels. As of writing, BTC price is trading at $26,588, surging over 0.05% from yesterday’s rate.

Currently, sellers are active, attempting to capitalize on price surges up to the $26.8K mark. For a potential decline to $24,800, sellers would need to drive the price below $26,000. However, this price point is anticipated to see strong buying interest.

The surging EMA lines and RSI indicator trading at 56, above the midline, suggest a growing buying demand among traders. As a result, a solid move and closure above $27K would be a bullish indicator. In such a scenario, the BTC price could target $28,200, followed by an approach towards the key resistance at $30,100. Sellers are likely to put up a strong fight at this resistance level.