Bitcoin – How falling LTH holdings could impact BTC’s $120K breakout

Key Points

1. Bitcoin's LTH balances hit cycle lows with a net change of -21.5K BTC, indicating reduced holdings but at a slower pace compared to previous cycles.

2. The Long-Term Holder Sell-side Risk Ratio has fallen for 30 straight days to 0.0010033, suggesting lower sell pressure despite high prices.

3. Realised Profit by LTHs has declined from 13.8K BTC to 5.6K BTC over the past 3 weeks, a trend that historically preceded further price appreciation.

4. If profit-taking increases, BTC may face downward pressure, potentially retracing to $116K; if LTHs reduce profit-taking further, BTC could reclaim $120,234.

5. The current behavior of LTHs deviates from traditional cycle patterns, where aggressive selling typically occurs during bull markets.