Bitcoin Alert: Why $99K Could Be the Next Key Milestone

As Bitcoin has shown impressive bullish growth early this year, it now experiences a pullback, currently hovering around $90,000. Recent price action suggests a potential resistance at $94,000, but new analysis indicates that a more significant resistance might exist just under the $100,000 mark.

Key Takeaways

Bitcoin is currently priced near $90,000 after a recent bullish run.
New whale investors are entering positions with an average price of about $99,000.
Selling pressure may arise if Bitcoin approaches this $99,000 threshold, leading to potential market changes.
Long-term holders and miners are benefiting from lower average buy-in prices, indicating minimal selling pressure.

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New Whales' Average Entry Price Near $99K

On-chain analyst Axel Adler Jr. shared insights on his social media account, analyzing Bitcoin's price trends. His research focused on the Realized Price New Whale Short-Term Holders (STH) versus Old Whale Long-Term Holders (LTH) indicator.

This indicator helps compare the average acquisition cost of Bitcoin by newly minted whale investors—those who recently acquired Bitcoin—to that of long-standing whale holders. Adler noted that these new whales have an average entry price around $99,000. With the Bitcoin price currently at about $90,000, it indicates that new whales are holding their positions at a loss.

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Source: @AxelAdlerJr on X

If Bitcoin approaches the $99,000 price point, these investors might be inclined to sell their holdings to mitigate losses. Large-scale selling from significant Bitcoin holders could lead to decreased buying momentum and increase selling pressure. Consequently, the $99,000 entry price could transform into a major psychological and technical resistance level.

Average Holding Costs for Long-Term Whales at $39K

In another analysis from the CryptoQuant platform, analyst Arab Chain evaluated the average cost basis for different groups of Bitcoin investors. As new whales face unrealized losses, the data on Binance user deposit addresses reveals some interesting statistics.

Currently, the average holding cost for traders on Binance is around $52,691, suggesting that many Bitcoin traders are still in profit. Miner whales—holders of more than 1,000 BTC—have an average holding cost of $58,681, placing them comfortably in profit as well. Consequently, there is expected to be limited selling pressure from this segment of the market.

Moreover, Long-term Holder whales enjoy an average acquisition cost of just $39,681, indicating they are also positioned in profit. This solidifies the bullish outlook for Bitcoin, as these long-term holders face no urgency to sell their assets. Any market retreats from these investors would likely stem from light profit-taking rather than drastic selling decisions.

As of now, Bitcoin’s price remains at approximately $90,624, showing little change over the past 24 hours.

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The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView