Bitcoin's Paradox: Why Indicators Say 'Hold' While Prices Plummet Below $100,000 Bitcoin's recent price action has left many investors questioning the market's direction. Despite the cryptocurrency experiencing significant crashes, pushing its value below the $100,000 mark, a comprehensive set of bull market peak indicators suggests the asset's growth cycle is far from exhausted. This creates a perplexing scenario where traditional metrics signal 'hold,' yet the price continues to decline.
Untriggered Peak Signals Hint at Further Runway
A meticulous tracker compiled by the Coinglass website monitors 30 distinct indicators historically proven to identify Bitcoin's price tops. Remarkably, none of these 30 indicators have yet been triggered, implying that Bitcoin has not reached its cyclical peak. For example, the Bitcoin Dominance indicator stands at a high 92.76%, nearing its trigger point but still untouched, while its dominance over altcoins remains above 60% but below the 65% threshold required to activate the signal. Furthermore, the long-term holder supply remains robustly above 15 million BTC, far exceeding the 13.5 million BTC level that would typically indicate a market top. Similarly, short-term holder supply is under 25%, well below the 30% mark that would suggest their dominance over the market. These consistent untriggered signals suggest that, fundamentally, more upward movement should be expected before the market truly peaks.
Whale Activity Fuels Premature Bearish Shift
Despite the encouraging signals from peak indicators, the Bitcoin market is currently grappling with extensive sell-offs from major holders. Over recent weeks, reports have detailed significant disposals by early Bitcoin whales, collectively offloading billions of dollars worth of BTC. Specifically, two prominent whales sold over $1.7 billion in BTC between October and November, contributing to the initial bearish momentum that pushed the price towards $100,000. This trend was exacerbated by another "OG whale" who recently dumped an additional 10,000 BTC, valued at over $1 billion. These substantial selling events are creating what appears to be a premature bear market, with these large players dictating price movements despite the broader market indicators suggesting a period for holding rather than selling. As a result, Bitcoin struggles to establish firm support above $101,000 amid this concentrated selling pressure.
