Glassnode: The market will continue to be weak before Bitcoin returns to the cost price of $62,400 for short-term holders

Odaily News Crypto data analysis platform glassnode released a report stating that "Bitcoin price movement has stagnated, and investor sentiment has been sluggish over the past six months. However, a significant change has occurred over the past three months, with increased downward pressure causing the crypto market to experience the most significant correction in this cycle. Despite this, from a macro perspective, Bitcoin spot prices are about 22% below their all-time highs, which is still a relatively small drop compared to the corrections during historical bull markets, indicating that most Bitcoin investors are still making significant profits, highlighting the robustness of their positions. However, the short-term holder group is still suffering from high unrealized losses, indicating that they are the most vulnerable group at present and will be the main source of selling pressure when the market falls. The short-term holder group represents new demand in the market and seems to have borne most of the market pressure. Their unrealized losses dominate overall, and the size of this loss has continued to increase over the past few months. We can confirm the above observation by evaluating the short-term holder MVRV ratio, which has fallen below the break-even value of 1.0. This shows that, on average, new investors are holding positions at a floating loss. Overall, unless the Bitcoin price returns to the cost basis of short-term holders, which is $62,400 The dollar is expected to remain weak, otherwise the market is expected to continue to weaken. Meanwhile, profit and loss activity remains very light, suggesting that the current price range is saturated, and key indicators such as the sell-side risk ratio hint at higher volatility ahead.”