- Traders expect a brief BTC bounce from $86K, but it’s a quick trade, not a sign the market is safe or turning bullish.
- Big, long-term Bitcoin holders are selling for profit, which often happens near market tops, not at the start of rallies.
- The market is jumpy and thin on liquidity, meaning sharp moves can happen suddenly as big players hunt stops.
Bitcoin traders should brace for a volatile ride as analysts signal a short-term relief move, followed by renewed bearish pressure. Doctor Profit, a well-known crypto trader, revealed plans to buy back BTC around $86,000 to capitalize on a potential bounce.
“I see the probability for Bitcoin to revisit the 97k–107k region before the next major leg lower unfolds,” he explained. This implies a roughly 20% upside from current levels, but he stressed that the trade carries high risk.
The trader emphasized strict risk management, noting, “I will make sure to place the stop loss at entry once in solid profit, also the short from 115-125k will be running and is not closed.” Doctor Profit highlighted that the move is tactical, expected to last only a few weeks.
He warned that Bitcoin remains unstable, and “the strong downside continuation can happen at any moment, even before reaching the 97-107k zone.” His focus remains on the 70k region as the primary downside target.
Long-Term Holders Unload Profits
CryptoQuant analyst IT_Tech_PL corroborated the bearish outlook, noting a significant 30-day long-term holder (LTH) distribution spike. “This 30-day LTH distribution spike is one of the largest in the last 5 years, and these usually show up near macro tops, not bottoms,” he stated.
Old coins are realizing big profits rather than capitulating, suggesting late-cycle de-risking rather than fresh accumulation. Additionally, LTH supply is rolling over from record highs, and spot prices remain above LTH realized price levels.
This distribution indicates that market strength could face selling pressure as experienced holders take profits. Consequently, traders must approach bullish signals with caution.
Analyst Daan Crypto Trades also highlighted liquidity challenges in recent weeks. “In an indecisive market, liquidity is more important than ever. One side oversteps—it gets hunted and taken out by market makers and larger players,” he explained.
