Bitcoin Short-Term Holders Back In Motion As Demand Resumes, Price Spike Looming?

Amid the recent renewed upward price movement in Bitcoin, the demand for the biggest cryptocurrency asset amongst short-term holders has witnessed a notable rise, suggesting strong optimism about BTC’s potential for growth within the near term.

Short-Term Holders Demand For Bitcoin Rebounds

Axel Adler Jr., a macro researcher and writer at leading on-chain firm CryptoQuant, recently reported that the common demand for Bitcoin from short-term holders has resumed after spotting positive advancements within the BTC’s Short-Term Holders Supply 30D Change metric following a period of decline.

Based on market data, these investors, who are often identified by their ownership of BTC for fewer than 155 days, are actively buying the cryptocurrency over again. This rebound reflects renewed interest from retail holders, which might be triggered by growing optimism a couple of possible price rally within the upcoming day.

After an intensive evaluation of the Short-Term Holders Supply 30D Change metric, the expert highlighted that the indicator has witnessed a rebound over the past 18 days despite the availability change oscillator consistently staying within the negative territory. He further underlined that the availability saw about 15% growth or a day by day increase of 0.95% through the period.

Bitcoin’s short-term holders’ demand rebounds | Source: Axel Adler Jr. on X

To date, investors and traders are closely watching the event because the resurgence could signal that a potential price increase is on the horizon, especially during uncertainty within the broader market.

Bitcoin’s short-term holders’ demand increases as volatility steadily returns to the market, as identified by Adler in one other previous post. “As volatility has returned to the market, and it really works each ways, make sure to assess risks when making trading decisions,” he stated.

Adler noted that the leveraged volume on the highest of three crypto exchanges is currently at 32%. Meanwhile, a spike above 55% might result in a “cascade of liquidations.”

A Recent All-Time High For BTC Coming Soon?

As anticipation for a serious rally continues to grow, Michael Van De Poppe, a market expert and Chief Information Officer (CIO) of MN Consultancy has delved into the recent performance of BTC, predicting that the digital asset could reach a latest peak soon. Van De Poppe highlighted that Bitcoin is within the consolidation period, which suggests the markets may “see some weakness.”

Nonetheless, considering upcoming pivotal events like the US Presidential election and a possible rate cut from the Federal Reserve (Fed), Van De Poppe is confident that the events could spark major price movements for Bitcoin within the upcoming weeks, noting that a latest all-time high “is close.”

On the time of writing, BTC was trading at $67,899, demonstrating a 0.70% previously day. While prices are slowly rising, BTC’s trading volume is displaying a negative outlook, falling by 2% within the last 24 hours.