Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
Bitcoin, the biggest cryptocurrency by market capitalization, reached $37,987 in Wednesday's trading session, nearing a one-week high. So far this year, it has increased by almost 125%.
Bitcoin (BTC) and numerous altcoins have rebounded to levels last seen a week ago, reversing virtually all of the losses from a $300 million liquidation event earlier in the week.
Bitcoin neared $38,000, a level last seen in May 2022 as part of an extended rise fueled by hopes of new demand for the lead cryptocurrency from exchange-traded funds.
At the time of writing, the market is witnessing some profit-taking, with Bitcoin and other altcoins reversing their previous-day gains.
BTC was up 2.33% in the last 24 hours to $36,942 at the time of writing.
Here's what happened recently
A recent analysis from on-chain analytics provider CryptoQuant gives some context on what happened with the Bitcoin price.
In a quick-take report, CryptoQuant observed some interesting patterns among Bitcoin holders as BTC prices skyrocketed in the past few weeks.
In the analysis, the behavioral patterns of Bitcoin long- and short-term holders were examined.
One pattern was spotted: long-term holders are sticking around while short-term holders are selling off.
What is more intriguing is that the Bitcoin sold by short-term holders appears to have been purchased by long-term holders. This is more like a swap between the two groups, with long-term investors profiting from short-term ups and downs.
Long-term holders appear to be taking advantage of the recent seesaw price action of BTC to acquire more Bitcoin. The MVRV indicator, which remains below two, indicates that long-term investors are not in a rush to cash out.