As we enter September, Bitcoin’s journey is anything but uneventful. The crypto kingpin has experienced some turbulent shifts recently, but a few key factors indicate that things could become very exciting—very quickly.
Long-Term Bitcoin Holders Aren’t Flinching
One of the most fascinating aspects of Bitcoin right now is how long-term holders (LTHs) are behaving. These are the folks who are in it for the long haul, and they’re not showing any signs of backing down. According to recent data, the realized market capitalization of Bitcoin for LTHs has hit a positive net value of $3 billion, something not seen since December 2023. According to CoinTelegraph, Amr Taha, a crypto analyst, explains that “while short-term holders (STHs) are increasing their selling, LTHs continue to accumulate,” suggesting that the smart money is betting on Bitcoin’s future.
Miners Are Playing the Waiting Game
Another intriguing development is the behavior of Bitcoin miners. After a period of selling pressure, miners seem to be hitting the brakes. Their selling activity has flatlined, which is a significant indicator that the market could be stabilizing. According to CoinDesk, this shift suggests that miners are beginning to hold onto their Bitcoin reserves, possibly anticipating a price increase in the near future. The trend reversal here is subtle but telling.
Stablecoins Could Trigger a Rally
And then there’s the stablecoin factor. The supply ratio of stablecoins, which are often used to buy Bitcoin, is at its most bullish in months. The total stablecoin market cap has reached a record $165 billion, indicating that there’s plenty of liquidity ready to flow into Bitcoin. Julio Moreno, head of research at CryptoQuant, pointed out, “This implies higher liquidity in the crypto markets,” which could very well trigger a rally.
Bitcoin’s Next Big Test: The $62,000 Barrier
Finally, let’s talk about Bitcoin’s price action. After a disappointing close last week, Bitcoin has shown some signs of life, clawing its way back with a 4.21% return over the past couple of days. But here’s where it gets tricky: Bitcoin is now nearing a critical resistance level at $61,700. If it can break through this and cross $62,737, we could see a “Change of Character” (ChoCH), a technical signal that a bullish trend is on the horizon.
At the time of writing, Bitcoin is sitting at $60,774.
