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Breaking News: Major Win For Memecoins: SEC Affirms They Typically Do Not Qualify As Securities

Data Shows Selling Pressure Mounts On Bitcoin: Is The Bull Run at Risk?

Samuel Edyme
Samuel Edyme
5 months ago
3 mins read
Data Shows Selling Pressure Mounts on Bitcoin: Is the Bull Run at Risk?

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Este artículo también está disponible en español.

Despite Bitcoin maintaining investor confidence by holding above critical psychological levels like $90,000, the asset faces notable shift in market sentiment.

A CryptoQuant analyst, G a a h, recently shared insights indicating heightened selling pressure within the market, which could signal caution for traders. At the core of this analysis is the delta between buy and sell taker volumes—a key metric used to gauge the market’s behaviour.

Related Reading

Is Now the Time to Buy Bitcoin? On-Chain Data Reveals Key Indicators To Watch

Is Now The Time To Buy Bitcoin? On-Chain Data Reveals Key Indicators

5 months ago

Bitcoin Faces Increased Selling Pressure

According to the analyst, the buy and sell taker ratio metric has reached levels comparable to those recorded in July 2024. This marks a period of heightened selling activity, attributed to profit-taking by investors, market uncertainty, or mass liquidations.

Bitcoin buy and sell taker ratio.
Bitcoin buy and sell taker ratio. | Source: CryptoQuant

The analyst noted that these developments coincide with an uptick in volatility and aggressive actions in the futures market. Notably, $430 million in long positions were liquidated within a week, highlighting the significant reaction from sellers.

Bitcoin long liquidations.
Bitcoin long liquidations. | Source: CryptoQuant

G a a h also revealed that the liquidation of long positions, which reached its fourth-highest peak in 2024, has had a notable effect on Bitcoin’s price behaviour.

This volume of liquidation often result in a “redistribution of capital,” leading to temporary reversals or consolidation phases, the CryptoQuant analyst noted. Historically, these liquidation-driven price movements have also acted as pivotal moments, either reinforcing support levels or triggering further sell-offs.

Outlook and Precautions For BTC Traders

The analyst pointed out that sustained selling pressure could negatively influence Bitcoin’s price trajectory in the short term. As such, continuous monitoring of market indicators and risk management is important for investors aiming to navigate these conditions. G a a h added:

Defensive strategies [such as reducing leverage and setting stop-losses] and continuous monitoring of the market are recommended to avoid excessive exposure at this time of dominant selling pressure.

Meanwhile, Bitcoin has continued with its positive performance. Over the past day, the asset has increased by 1.6% bringing its price above $97,000. Although Bitcoin is still 2.7% decrease away from its all-time high (ATH) of $99,645, there appears to still be a form of bullish sentiment in its market.

Bitcoin (BTC) price chart on TradingView
BTC price is moving upwards on the 2-hour chart. Source: BTC/USDT on TradingView.com

According to recent analysis from renowned crypto analyst known as Javon Marks on X, Bitcoin’s 2-hour time frame on the chart has “confirmed” a notable bullish signal. This confirmation makes the rally to $100,000 price mark imminent and the current target at $116,652.

#Bitcoin (BTC)’s 2h chart has confirmed a high conviction signal for a full recovery and continuation!

Movement above $100,000 can be coming, IMMINENTLY 🧨

Current Target Remains @ $116,652 pic.twitter.com/7ifdmnuR8d

— JAVON⚡️MARKS (@JavonTM1) November 28, 2024

Featured image created with DALL-E, Chart from TradingView

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Samuel Edyme
Samuel Edyme

Samuel Edyme

Meet Samuel Edyme, Nickname - HIM-buktu. A web3 content writer, journalist, and aspiring trader, Edyme is as versatile as they come. With a knack for words and a nose for trends, he has penned pieces for numerous industry player, including AMBCrypto, Blockchain.News, and Blockchain Reporter, among others.

Read more

Edyme’s foray into the crypto universe is nothing short of cinematic. His journey began not with a triumphant investment, but with a scam. Yes, a Ponzi scheme that used crypto as payment roped him in. Rather than retreating, he emerged wiser and more determined, channeling his experience into over three years of insightful market analysis.

Before becoming the voice of reason in the crypto space, Edyme was the quintessential crypto degen. He aped into anything that promised a quick buck, anything ape-able, learning the ropes the hard way. These hands-on experience through major market events—like the Terra Luna crash, the wave of bankruptcies in crypto firms, the notorious FTX collapse, and even CZ’s arrest—has honed his keen sense of market dynamics.

When he isn’t crafting engaging crypto content, you’ll find Edyme backtesting charts, studying both forex and synthetic indices. His dedication to mastering the art of trading is as relentless as his pursuit of the next big story. Away from his screens, he can be found in the gym, airpods in, working out and listening to his favorite artist, NF. Or maybe he’s catching some Z’s or scrolling through Elon Musk’s very own X platform—(oops, another screen activity, my bad…)

Well, being an introvert, Edyme thrives in the digital realm, preferring online interaction over offline encounters—(don’t judge, that’s just how he is built). His determination is quite unwavering to be honest, and he embodies the philosophy of continuous improvement, or “kaizen,” striving to be 1% better every day. His mantras, “God knows best” and “Everything is still on track,” reflect his resilient outlook and how he lives his life.

In a nutshell, Samuel Edyme was born efficient, driven by ambition, and perhaps a touch fierce. He’s neither artistic nor unrealistic, and certainly not chauvinistic. Think of him as Bruce Willis in a train wreck—unflappable. Edyme is like trading in your car for a jet—bold. He’s the guy who’d ask his boss for a pay cut just to prove a point—(uhhh…). He is like watching your kid take his first steps. Imagine Bill Gates struggling with rent—okay, maybe that’s a stretch, but you get the idea, yeah. Unbelievable? Yes. Inconceivable? Perhaps.

Edyme sees himself as a fairly reasonable guy, albeit a bit stubborn. Normal to you is not to him. He is not the one to take the easy road, and why would he? That’s just not the way he roll. He has these favorite lyrics from NF’s “Clouds” that resonate deeply with him: “What you think's probably unfeasible, I've done already a hundredfold.”

PS—Edyme is HIM. HIM-buktu. Him-mulation. Him-Kardashian. Himon and Pumba. He even had his DNA tested, and guess what? He’s 100% Him-alayan. Screw it, he ate the opp.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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