Bitcoin drops below 0.95 cost basis quantile, signaling potential risk: Glassnode
Analysts say Bitcoin’s dip into a profit-taking zone may precede testing lower support, highlighting increased market risk and uncertainty.
Bitcoin fell below the 0.95 Cost Basis Quantile today, entering a zone typically associated with profit-taking activity, according to data from blockchain analytics firm Glassnode.
A failure to reclaim this threshold could see Bitcoin test lower support levels between $105,000 and $90,000. However, successfully moving back above the 0.95 Cost Basis Quantile would indicate renewed market strength.
The Cost Basis Quantile serves as a key metric for gauging market risk levels and potential price action zones for the leading digital asset.