- Bitcoin has fallen below the cost basis for short-term holders (under 155 days).
- Heavy outflows from ETFs have contributed to the recent fall, and the downtrend could continue.
The Bitcoin [BTC ($85,636.38)] Fear and Greed Index showed a reading of 26, which was still fearful. It improved on the previous day’s reading of 20, which denoted extreme fear.
This sentiment resulted from BTC’s 13.8% drop in the past nine days.
In a post on CryptoQuant, analyst Axel Adler pointed out that the short-term holders (STHs) saw modest losses due to the recent price drop.
On average, they were at 6.4% below cost basis, which was at approximately $90.5k according to CQ data.
Where is Bitcoin headed next?
Adler observed that STHs experiencing modest losses could see the market enter a period of consolidation and accumulation.
However, this would need steady demand and a shift in macroeconomic sentiment, which remained fearful and uncertain.
The US spot ETF flows showed heavy outflows over the past ten days. This was one of the primary reasons behind the losses Bitcoin faced over the pas… creator solana token
