Bitcoin Dives As On-Chain Data Shows Every Cohort Now Selling

On-chain data shows all Bitcoin investor cohorts have pivoted to distribution recently, an indication that a shift in market mood has ￰0￱ Accumulation Trend Score Has Turned Red For All Holders In a new post on X, on-chain analytics firm Glassnode has talked about the latest trend in the Accumulation Trend Score of Bitcoin for the various investor ￰1￱ Accumulation Trend Score measures, as its name suggests, the degree of accumulation or distribution that BTC holders are participating ￰2￱ Reading: 215% PENGU Rally Incoming? Analyst Says Token ‘Inches’ From Next Leg Up The indicator uses two factors to calculate the score: the balance changes happening in the wallets of the investors and the size of the wallets ￰3￱ means that larger entities have a higher influence on the indicator.

Now, here is a the chart shared by Glassnode that shows the trend in the Bitcoin Accumulation Trend Score across holder groups over the past year: As displayed in the above graph, the Bitcoin Accumulation Trend Score had a value greater than 0.5 for all investor groups back in July, implying a net accumulation behavior across the ￰4￱ (under 1 BTC), whales (1,000 to 10,000 BTC), and mega whales (above 10,000 BTC) even saw the metric assume a value close to 1 for a while, which corresponds to a near-perfect accumulation ￰5￱ this month, the market buying started to show signs of weakness and now, the behavior has flipped across the holder groups with investors taking to ￰6￱ (10 to 100 BTC) lead the selling with an Accumulation Trend Score near zero.

“The uniformity across cohorts highlights broad sell-side pressure emerging in the market,” notes the analytics ￰7￱ the chart, it’s visible that the last time this pattern developed was in ￰8￱ followed the sector-wide selloff was a bearish period for ￰9￱ such, it now remains to be seen whether the recent shift toward distribution would also lead to something ￰10￱ development that could potentially signal the oncoming of a bearish phase could be BTC’s retest of the Realized Price of the 1 month to 3 months old investors, as Glassnode has explained in another X ￰11￱ Realized Price is a metric that calculates the average cost basis of Bitcoin ￰12￱ metric shown in the above chart tracks this value specifically for the holders who purchased their coins between 1 and 3 months ￰13￱ Reading: When Will Bitcoin Bottom Out?

This Could Be The Signal To Watch At present, the indicator is sitting at $110,800, which is around where BTC has been trading following its decline. “Historically, failure to hold above this level has often led to multi-month market weakness and potential deeper corrections,” says the analytics ￰14￱ Price At the time of writing, Bitcoin is floating around $109,900, down more than 5% over the last seven ￰15￱ image from Dall-E, Glassnode. com, chart from ￰16￱