Analysts say that current selling pressure on Bitcoin is mainly driven by profit-taking, and further price increases will face selling pressure from l...
TL;DR
Bitcoin selling pressure is driven by profit-taking, not panic, as data shows high profitable inflows to exchanges and low loss outflows. This indicates investors are locking in gains near their cost basis, with bearish risks if loss-driven selling emerges.
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According to a post by Crypto Quant analyst Axel, as reported by ChainCatcher, data shows that approximately 35,400 Bitcoins in a profitable position flowed into CEXs in the past 24 hours, the highest figure in nearly two months. Meanwhile, the outflow of losing Bitcoins was extremely low, only about 4,600. The profit/loss outflow ratio is approximately 7.5:1. Profit-taking behavior clearly dominated, with very little panic selling.
Axel explains that high profit-taking at such a low loss rate is a logical market behavior. Investors who bought in the $85,000–$92,000 range are taking advantage of the price approaching their cost basis to lock in profits. This flow structure indicates that profit-taking is dominating the market's selling pressure, a completely different type of pressure from panic selling of losing positions. The bearish scenario will intensify once the profit/loss ratio reverses (i.e., loss-driven selling begins to dominate), although this is not a certainty. The charts paint a coherent picture: the loss rate has narrowed to a minimum, and it is precisely in this range that profit-taking has become active. The price is testing the cost basis area while facing high supply pressure from profitable positions.