Bitcoin May Have Reached a Short-Term Peak Ahead of the U.S. Election: Investors Should Remain Cautious : Bitcoin continues to capture the market’s attention as it may have already reached a short-term peak, according to Copper Research. Is now the right time to invest, or should investors consider exiting positions to protect profits?
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Bitcoin Price Today 10/29/2024: Bitcoin Sees Minor Drop but Hits Record “Whale” Wallets
According to CoinMarketCap, as of 10:20 a.m. on October 29, 2024 (Vietnam time), Bitcoin is trading at $71,299, up by 5.16% in the past 24 hours. Trading volume has reached $44,58 billion, reflecting the intense interest in the cryptocurrency with the largest market capitalization.
While Bitcoin’s outlook remains positive, analysts warn that it may have hit a temporary high ahead of the upcoming U.S. election, drawing significant attention from investors.
Analysis from Copper Research: Bitcoin May Have Already Hit a Temporary Peak
According to The Block’s report, Copper Research analysts indicate that recent on-chain metrics and Bitcoin’s price movements suggest a short-term peak.
In their Copper Opening Bell report, analysts noted that 98% of Bitcoin wallet addresses are currently in profit. This is a strong signal that selling pressure could rise as investors tend to take profits when their holdings reach higher levels.
“Historical data shows that when a high percentage of Bitcoin addresses are in profit, the market often faces stronger selling pressure. This suggests that Bitcoin is at a short-term peak, and selling pressure may continue to grow.”
Declining Interest in Bitcoin ETFs?
Despite a notable inflow into Bitcoin ETF funds over the past week, investor interest remains lower than anticipated.
The market responded strongly to these ETF inflows, pushing Bitcoin prices above $71,500—the highest since July. However, growth appears to be slowing compared to the beginning of the year, prompting many investors to question if the upward trend will continue.
Advice for Investors: Remain Cautious and Monitor Closely
Investors should consider protecting current profits or adopting a profit-taking strategy, especially if Bitcoin may have reached a short-term peak. Monitoring on-chain metrics and market trends ahead of the U.S. election is key to optimizing portfolios and minimizing risks in this sensitive period.
Conclusion: Bitcoin’s growth continues to create big opportunities, but given the current landscape, careful analysis and caution are essential to sustaining profits.
