Bitcoin Hits $80K Resistance, Long-Term Holders Realize Gains
Bitcoin's price has stalled at the $80,000 resistance level due to fading volume and crowded long positions. The cryptocurrency has cooled after a 21.82% weekly surge, with profit-taking increasing as momentum entered overbought territory.
The recent advance gained force after Bitcoin cleared $70,000 on August 19, with short liquidations reaching $2.74 billion compared to $256.66 million for longs. However, derivative conditions have since changed, with long liquidations reaching $310.03 million and short liquidations totaling only $60.77 million.
Open interest remains near $25.35 billion, close to August's $25.7 billion peak, while the funding rate is positive at 0.000091%. Technical momentum also looks stretched, with the 12-hour RSI reaching 81.70 before slipping below its 83.83 signal line.
Long-term holders are now realizing gains of around $80,000, giving them room to sell and potentially increasing the risk of a pullback without confirming a lasting market top.