Bitcoin Surges 25% as Sellers Become Exhausted

The Bitcoin price has surged more than 25% since its recent low, rising from around $64,000 in mid-August to approximately $80,000.

This recovery has sparked debate among investors: is this a brief rebound after a significant drop or the start of a new uptrend?

Pedro Fontes, an analyst at Mercado Bitcoin, believes two charts help explain why the market has regained strength. The first graph shows that sellers have become exhausted and their selling pressure has decreased.

This is evident in the Index of Seller Exhaustion chart from Glassnode, which indicates a decline in selling activity after the price dropped below key support levels.