BTC Long-Term Holders Halt Selling: Key On-Chain Signal Points to Easing Sell Pressure, Watch Funding and Basis Now | Flash News Detail | Blockchain.News
Latest Update
12/30/2025 3:42:00 PM

BTC Long-Term Holders Halt Selling: Key On-Chain Signal Points to Easing Sell Pressure, Watch Funding and Basis Now

BTC Long-Term Holders Halt Selling: Key On-Chain Signal Points to Easing Sell Pressure, Watch Funding and Basis Now

According to @ki_young_ju, Bitcoin long-term holders stopped selling, indicating a pause in distribution from older coins and an immediate reduction in sell pressure from the LTH cohort, which is a trading-relevant on-chain signal for BTC supply dynamics. Source: @ki_young_ju on X, Dec 30, 2025. For trading, this points to tighter spot supply conditions; monitor BTC spot premiums versus USD, futures basis, and perpetual funding rates for confirmation of buy-side dominance and reduced structural outflows from long-term holders. Source: @ki_young_ju on X, Dec 30, 2025.

Source

Analysis

In a significant development for the cryptocurrency market, prominent crypto analyst Ki Young Ju has revealed that Bitcoin long-term holders have ceased their selling activities, potentially signaling a bullish shift in market dynamics. According to Ki Young Ju's tweet on December 30, 2025, this change in holder behavior could indicate growing confidence among investors who have held BTC for extended periods, often referred to as 'diamond hands' in trading circles. This observation comes at a time when Bitcoin's price has been under scrutiny, with traders watching for signs of accumulation or distribution phases that could influence future price movements.

Understanding the Impact on Bitcoin Trading Strategies

The cessation of selling by long-term Bitcoin holders is a critical metric for traders, as it often precedes periods of price stabilization or upward momentum. Long-term holders, typically defined as those who have not moved their BTC for over a year, play a pivotal role in market supply dynamics. When these holders stop selling, it reduces the available supply on exchanges, which can lead to increased scarcity and potentially drive prices higher if demand remains steady or grows. Traders should monitor on-chain metrics such as the Long-Term Holder Supply Shock Ratio or the Spent Output Profit Ratio (SOPR) to validate this trend. For instance, if SOPR values hover above 1, it suggests that holders are realizing profits, but a decline in selling pressure could push this indicator towards more neutral territory, encouraging entry points for long positions in BTC/USD or BTC/USDT pairs.

From a technical analysis perspective, this development aligns with key support and resistance levels in Bitcoin's chart. Assuming current market conditions, Bitcoin has been trading around major support zones, and reduced selling from long-term holders could act as a catalyst for breaking through resistance levels. Traders might consider strategies like swing trading, targeting entries near recent lows with stop-losses below critical support, while aiming for take-profit levels at historical highs. Volume analysis is essential here; a spike in trading volume accompanying this holder behavior could confirm a reversal pattern, such as a double bottom or inverse head and shoulders, providing high-probability setups for both spot and futures markets.

Market Sentiment and Broader Implications for Crypto Investors

Beyond immediate trading opportunities, the halt in selling by Bitcoin long-term holders reflects broader market sentiment, particularly in the context of institutional adoption and macroeconomic factors. With global economic uncertainties, including interest rate fluctuations and geopolitical tensions, investors are increasingly viewing Bitcoin as a store of value. This sentiment is echoed in rising institutional flows, where entities like hedge funds and corporations continue to accumulate BTC, further supporting the narrative of reduced selling pressure. For stock market correlations, Bitcoin's behavior often influences tech-heavy indices like the Nasdaq, where crypto exposure through companies like MicroStrategy or Tesla can amplify cross-market movements. Traders should watch for correlations between BTC price action and stock market volatility, using tools like the Bitcoin-Stock Market Correlation Index to identify hedging opportunities or diversified portfolios.

In terms of risk management, while this news is positive, traders must remain vigilant against potential false signals. Factors such as regulatory announcements or sudden shifts in whale activity could reverse this trend. Incorporating derivatives like options trading, with strategies such as protective puts or covered calls on BTC, can mitigate downside risks. Overall, this insight from Ki Young Ju underscores a potential turning point for Bitcoin, encouraging a data-driven approach to trading that balances optimism with caution. By focusing on verifiable on-chain data and historical patterns, investors can position themselves for profitable outcomes in an evolving market landscape.

To delve deeper into trading applications, consider the following: if long-term holder selling has indeed stopped, it may correlate with increased liquidity in altcoin markets, as capital rotates from BTC to other cryptocurrencies. Pairs like ETH/BTC or SOL/BTC could see relative strength, offering arbitrage opportunities. Additionally, sentiment indicators from social media and fear/greed indices should be cross-referenced to gauge retail participation. In summary, this development not only bolsters Bitcoin's fundamental strength but also opens doors for strategic trading across multiple timeframes, from day trading scalps to long-term holds, emphasizing the importance of staying informed on holder behaviors for sustained success in cryptocurrency markets.

Ki Young Ju

@ki_young_ju

Founder & CEO of CryptoQuant.com