Add as a preferred source on GoogleBitcoin Selling Pressure Eases as Demand for Recovery Stays Weak
Darkfost’s seller-exhaustion measure has fallen to levels seen during bear markets. Historically, easing selling pressure has helped form market bottoms, but it does not guarantee a recovery.
Bitcoin (BTC) sellers appear to be losing momentum after a decline of more than 10% from a previous high, but demand remains weak, CryptoQuant analyst Darkfost said.
Darkfost’s seller-exhaustion measure compares the share of Bitcoin supply held in profit with average monthly volatility. It gauges whether sellers have enough incentive to keep pushing prices lower.
The measure has fallen to levels comparable with those seen during bear markets, alongside short-term profit-taking and Bitcoin’s pullback. Historically, easing selling pressure has helped form market bottoms.
That pattern does not guarantee a recovery. Even if sellers become less active, demand is needed to support a rebound, and Bitcoin currently lacks that demand.
Enna Lee
ReporterEnna Lee reports on investing and digital-asset markets for TokenPost. Send corrections or tips to info@tokenpost.com.