Bitcoin

Arthur

You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/bitcoin-investors-experience-significant-losses-during-market-drop/" data-wpel-link="internal">Bitcoin Investors Experience Significant Losses During Market Drop</a> 
Data shows that <a href="https://en.coin-turk.com/the-time-is-coming-watch-out-for-bitcoin-btc-and-cryptocurrencies-on-may-11/" data-wpel-link="internal">Bitcoin</a>’s long-term holders sold only about $600,000 worth of Bitcoin during the sudden drop to $49,500. In one of its recent Quicktake blog posts, on-chain analysis platform CryptoQuant revealed a stark contrast among Bitcoin holder groups. Bitcoin’s drop from $50,000 on August 5th occurred as part of a mass panic triggered by Asian <a href="https://finance.coin-turk.com/" data-wpel-link="exclude">stock markets</a> reclaiming months of gains. 
<h2 class="p1" style="text-align: justify" id="what-is-happening-in-the-bitcoin-sector">What is Happening in the Bitcoin Sector?</h2> 
The <a href="https://newslinker.co/can-artificial-intelligence-achieve-consciousness/" target="_blank" rel="noopener" data-wpel-link="exclude">latest data</a> indicates that Bitcoin sales resulted from BTC/USD consolidating $20,000 losses in a single week. However, CryptoQuant contributor Caue Oliveira analyzed the age of assets involved in off-chain transactions, showing that the overwhelming majority were the youngest assets resold at a loss: 
<blockquote> 
 “Looking at the spent output by age range, it is clear that the largest volume of on-chain movements came from assets older than one week.” 
</blockquote> 
Asset age refers to the amount of time a specific Bitcoin unit remained inactive before being used in its last transaction. Traditionally, assets aged up to 155 days are associated with short-term holders (STHs) or speculators, who lack a holding history and are profit-focused. Oliveira shared the following insights: 
<blockquote> 
 “In total, more than $5.2 billion was moved in a single hour within age ranges from one day to one week. A deeper look into the spending pattern shows that this downward movement realized approximately $850 million in losses.” 
 “However, only $600,000 was realized by long-term holders (LTHs). The rest was realized by short-term investors. The largest volume is concentrated among investors up to three months old, indicating that the price drop pressured newcomers to capitulate.” 
</blockquote> 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-377397 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/bitcoin-5.png" alt="" width="1309" height="750"> 
The historical significance of the large number of loss-making on-chain transactions was also noted by Crypto investor and YouTuber Quinten, citing data from CryptoQuant contributor Axel Adler Jr. on X. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-377398 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/veri.jpg" alt="" width="2048" height="1152"> 
<h2 class="p1" style="text-align: justify" id="bitcoin-chart-analysis">Bitcoin Chart Analysis</h2> 
Although the BTC/USD pair has since risen more than 10% from its six-month lows, data from TradingView confirms that not everyone believes the worst is over. Investors are still considering Bitcoin price targets in the $40,000 range. 
Meanwhile, Arthur Hayes, former CEO of crypto exchange BitMEX, warned his X followers on August 6th that the relief rally in the markets would not last long, sharing the following statements: 
<blockquote> 
 “This was the first wave. Now we wait for TradFi bodies to surface instead of leveraged puppets.” 
</blockquote> 
He referred to the victims of the Japanese yen carry trade, which is believed to have caused most of the consequences of the week’s Nikkei crash, and continued: 
<blockquote> 
 “Then the second wave begins. If there is to be a rescue, the market needs to inflict more pain by Friday. Enjoy this break as the war continues.” 
</blockquote> 
<img loading="lazy" decoding="async" loading="lazy" class="aligncenter wp-image-377396 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/btc-grafik.png" alt="" width="1617" height="849"> 
<ul class="Summary"> 
 <li>Bitcoin’s long-term holders sold only about $600,000 during the sudden drop.</li> 
 <li>Most losses were realized by short-term investors reselling at a loss.</li> 
 <li>Investors still consider Bitcoin price targets in the $40,000 range.</li> 
</ul> 
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Bitcoin Investors Experience Significant Losses During Market Drop

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