Bitcoin (BTC) has run into resistance near a key on-chain level as short-term holder data reflects ongoing profit-taking activity. Recent value movement shows BTC failing tokeep on the rally above an important cost basis metric, strengthening the significance of on-chain indicators in analyzing near-term market traits.
According to CoinMarketCap, at the time of writing, the coin is trading at $96,117.35 with a 0.87%increase in rate. The market cap of the coin has exceeded almost $1.92 trillion, and the coin’s volume is around $55.42 billion.
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Rejection Near Short-Term Holder Cost Basis
On-chain data tracing the Short-Term Holder (STH) Cost Basis underscores a distinct rejection at this level. The STH Cost Basis reflects the average acquisition value of coins held by traders who have owned BTC for a relatively short time period, mostly less than 155 days. This criterion is largely used to gauge the traits of more reactive traders.
Recent charts indicate BTC testing this level and pulling back, proposing that selling pressure came out as the price neared the average cost of short-term holders. Such reactions have historically marked areas where investors reflect risk and lock in gains.
Key Levels of Bitcoin Remain in Focus
BTC’s price chart reveals a downward momentum. It could climb toward the resistance (yellow) at around $96,985.87. Assuming the bullish pressure strengthens, it sends the coin’s price up to test the $98,000 range.
If a reversal occurs, the bears may push the token’s price down to the support level (blue) at $95,825.55. In case the downside correction gains more traction, the death cross could form and likely drive the asset’s price to a low of $94,000 or even lower. The moving average convergence divergence (MACD) indicator shows the coin experiencing a bullish rally since the MACD line (blue) is above the signal line (orange).
The Relative Strength Index (RSI) is currently indicating that the asset is being overbought. The pivot points have established the support levels at $95,212, $93,392, and $ 92,125. The resistance levels of the token are at $98,299, $99,566, and $101,386.
Also Read: Bitcoin Rally Continues with Changpeng Zhao (CZ) Predicting Bold $200,000 Price Target
