Bitcoin Faces Potential Volatility Amid Market Sentiment Shifts

According to PANews, chain analyst Murphy has identified the short-term holder cost basis (STH-RP), currently at $108,800, as a critical sentiment indicator for Bitcoin's market trends. This metric reflects the average turnover cost for short-term holdings. If Bitcoin's price falls below this threshold, short-term investors may shift from unrealized gains to losses, potentially leading to a change in market sentiment from anxiety to panic and disrupting the previous upward trend. Historical data suggests that once this line is breached, the market may experience prolonged recovery periods, characterized by either wide fluctuations or rapid declines, depending on prevailing sentiment and macroeconomic events source: https://www.binance.com/en/square/post/28826536490554?utm_source=BinanceNewsRSS