https://blockchair.com/news/extreme-demand-for-btc-at-20k-creating-new-support-levels-glassnode--1b90dcb55dI recently saw this in a news that short term holders (STHs) are not selling bitcoin for now and maybe it would be possible that the STH will become a long term holders (LTH) and may not sell at least for 155 days.
In the latest The Week OnChain Newsletter published on July 25, Glassnode’s UkuriaOC pointed to “extreme demand” around the $20,000 region, noting that at each psychological price level from $40,000 to $30,000 to $20,000 creates a new group of short-term holders (STHs).
The Glassode analyst noted that much of the supply that new STHs bought during that drawdown has not been sold even though prices are significantly down. This may be due to less price sensitive buyers, or those who care more about Bitcoin fundamentals than investment gains, driving demand.
The Glassnide onchain newsletter about the reportThe report concludes by stating that while the “worst of the capitulation may be over,” BTC could remain in this low range for some time as the cost basis for new coin buyers has diverged below the realized price for only about 17 days straight. Previous bear cycles have endured low divergences between 248 and 575 days.
What do you think about this?
Some analysts have said already that bitcoin may fall below $14000, but some bulls are not ready to sell, they may only sell when bitcoin reach a significant high price only which may not happen for now. Is it still possible for bitcoin to fall below $14000 that some analysts predicted when some bulls are not ready to sell yet and some even bought more bitcoin at a price below $20000.
