Bitcoin Long-term Holders Take Moderate Profits as Market Remains Uncertain

Bitcoin has been holding steady near $84,000 as long-term holders take moderate profits. According to CryptoQuant contributor Darkfost, long-term Bitcoin holders have realized a profit of around 72%, which is far below the nearly 350% peak levels reached in December 2024.

This profit level is not indicative of aggressive selling, according to Darkfost. The analyst explained that long-term holders tend to react less to short price swings than short-term holders, making their realized profits useful for tracking selling pressure during larger market moves.

Exchange flows also show a net outflow of 12,153 BTC between September 17 and 23, with 19,105 BTC withdrawn on September 22 alone. However, this does not necessarily mean that long-term holders are selling heavily, as coins can leave exchanges for various reasons beyond buying.

Lower leverage in the derivatives market may also be removing some pressure from Bitcoin, with open interest falling by 10.4% and funding rates cooling down. However, spot demand remains a key aspect of the market's recovery, and ETF activity has been one source of measured spot demand, with U.S. spot Bitcoin ETFs receiving $191 million on September 24.

While the current setup is cautiously constructive, CoinNiel's analysis notes that renewed exchange inflows combined with rapidly increasing funding and open interest would weaken this reading, suggesting that the market remains uncertain about its next move.