Analysts report that Bitcoin’s price is currently facing strong resistance due to sustained selling by long-term holders, often referred to as “OGs.”
This wave of profit-taking has resulted in record realized gains, with daily profits hitting $1.7 billion and realized losses climbing to $430 million per day—one of the highest levels in the current cycle.
Long-term holders offload coins
James Check, an analyst, highlighted that the average age of spent coins has increased, pointing to older Bitcoin holders as the primary sellers.
He noted that the source of resistance is not market manipulation or artificial suppression, but rather the substantial sell-side pressure from these experienced holders. Check stated:
“The sheer volume of sell-side pressure from existing Bitcoin holders is still not widely appreciated, and that it was the source of resistance at the moment.”
Onchain data also shows the revived supply from older coins has reached $2.9 billion daily, its second-highest level ever.
Investor Will Clemente observed that much of the past year’s market weakness was due to supply shifting from legacy holders to traditional finance entities, a transition he expects will become less relevant over time.
Miners and OGs lead supply
Galaxy Digital CEO Mike Novogratz echoed these observations, stating that most of the supply his firm sees comes from “old OGs” and miners. Novogratz remarked:
“People trimming because they’ve had a great run and we’re just digesting that turnover.”
Support holds, but resistance remains
Despite this sell pressure, Bitcoin has managed to hold weekly support, closing at $108,700.
Analyst ‘Rekt Capital’ suggested that continued stability at this level could pave the way for a rally toward $120,000, but cautioned that resistance remains just above current prices.
For further insights on metrics like realized profit and loss, or to explore more bitcoin charts and indicators, see the index of free bitcoin charts.
