Bitcoin (BTC) price witnessed a sharp decline of 7.13% toward the tail end on Jan. 26 to the early hours on Jan. 27, dropping under $100,000 for the first time since Donald Trump became the 47th US president.
Bitcoin 4-hour chart. Source: Cointelegraph/TradingView
Since then, the crypto asset has teased a position above $100,000 as the market contemplated the next directional bias.
Bitcoin short-term holder loss remains low
There has been a noticeable conflict in market sentiment over the past couple of weeks, with some analysts calling it a market top while others remain optimistic for another leg up.
For the better part of the previous week, President Donald Trump’s tight-lipped demeanor on any crypto-related executive orders during the inauguration speech did not sit well with the Bitcoin community.
Axel Adler Jr, a Bitcoin researcher, pointed out that short-term holders took minimal part in the recent BTC sell-off. In an X post, the analyst highlighted that BTC’s short-term holder profit loss to exchanges remained under 2,000 BTC.
Bitcoin short-term holder profit loss to exchanges. Source: X.com
On the previous seven occasions when BTC dropped by more than 5%, more than 5,000 BTC were moved at a loss on exchanges. The analyst said the recent shake-off did not indicate any “major panic selling in the market.”
Bitcoin Buy/Sell Pressure Delta by Joao Wedson. Source: X.com
In light of that, Joao Wedson, Alphractal founder, also said that buying pressure has swiftly returned after the price dropped under $100,000.
However, a significant amount of long positions were compromised. Glassnode, a data analytics platform, said more than $68 million longs were liquidated in 24 hours. The platform added,
“The 24-hour SMA of Bitcoin long liquidations reached $2.9M, marking the third-largest long liquidation event in the last three months.”
Related: DeepSeek rout costs bulls $100K — 5 things to know in Bitcoin this week
Will Bitcoin price see a swift reversal?
One particular trend observed with Bitcoin over the past few months is volatile Monday price action which can often determine the weekly low or high before…
..
