Glassnode suggests Bitcoin’s excitement subsides, yet a potential BTC low may be imminent.

The Bitcoin price continues its decline after the halving event, leading to a redistribution of wealth in the market and a decrease in the “euphoric phase,” according to a report from Glassnode. The report identifies the group of investors responsible for the current sell-off. Bitcoin reached a high of $73,000 before experiencing a correction and consolidating between $60,000 and $67,500. Glassnode’s analysis shows that this rise in price created patterns similar to previous bull runs. The accumulation trend score increased due to geopolitical tensions in the Middle East, resulting in a correction to $60,300. The introduction of spot Bitcoin exchange-traded funds (ETFs) in the United States positively impacted the price momentum, as reflected in the net unrealized profit and loss (NUPL) metric. The NUPL has been above 0.5 for the past seven months, indicating a euphoric phase in the market. The recent correction was caused by short-term holders selling, but Glassnode expects seller exhaustion to occur as the market price approaches their cost basis. The cost basis of one-week to one-month holders is $66,700, suggesting a high probability of seller exhaustion in the coming weeks. This article is for informational purposes only and does not constitute investment advice.