Bitcoin holders realized $110k BTC in profits near $80k peak, raising questions about potential price correction amid weakening demand signals.
Macro & Markets ·
Bitcoin investors have realized approximately 110,000 BTC in profits following a rally that approached $80,000, with a single day on August 21 accounting for 23,000 BTC in net profit realization—the largest daily figure this year. According to CryptoQuant data, this concentrated profit-taking pattern has historically preceded substantial price corrections, and demand indicators are showing signs of contraction that could amplify selling pressure. The spot demand expansion that briefly reached 43,000 units—the fastest pace of the year—has since reversed into contraction, while US investors' demand, measured via Coinbase Premium, has weakened to slightly negative territory.
The near-term technicals present a mixed picture. Bitcoin has already retreated from its August high near $82,400 to below $80,000 following rejection at that level, which analysts characterize as a typical bullish cooldown. However, the broader market sentiment remains constructive, with a Bull Score of 70 pointing toward potential continued upward momentum, contingent on price closing above the 365-day moving average positioned at approximately $83,000.
What remains unclear is whether the current profit-taking will trigger a deeper correction or represent a pause within an ongoing bull phase. The Bull Score's position above 60—historically associated with sustainable bull markets—suggests upside potential, yet the deteriorating demand metrics and concentrated selling introduce near-term downside risk.