Key Takeaways
Why did Bitcoin see increased volatility in the last 24 hours?
Bitcoin’s price fell 3% in the past day due to selling by long-term holders and a brief pullback before the FOMC meeting.
Why is the $110,000 support critical?
It was the realized price for the 3 to 6 month age range, and this realized price was retested for the third time in ten days.
In the last 30 days, long-term holders (LTHs) have lost 325,600 Bitcoin [BTC]noted crypto analyst Maartun.
In one message on X (formerly Twitter), the analyst revealed that this was the sharpest monthly decline since July 2025.
The selling pressure from long-term holders was not what investors had hoped for after the October 10 liquidation event.
A recent AMBCrypto report found that 270,000 Bitcoin, which had been dormant for more than seven years, had been moved by 2025.
This was probably mainly caused by profit taking by LTHs. Some relocation was also possible for security purposes or internal reorganizations.
With BTC prices above the psychological level of $100,000 since June 24, a 128-day period, the profit-taking tendency revealed weakened LTH bullish conviction.
Analyst Maartun observed a wave of coin movement Inactive for 3-5 yearswhich was the third such spike in the past two days. During the most recent surge, 4.7k BTC was moved.
Will this continued selling force Bitcoin into a downtrend?
In one CryptoQuant Insights message, analyst Donkerfost pointed to the increased volume of spot trading as a sign of the market’s health.
After the violent deleveraging earlier in October, increased trading volume on the spot market was a welcome sign that investors view leverage as risky.
A spot-driven rally would be stronger and less volatile than one that generates a lot of speculative interest and high open interest.
The build-up of liquidation levels around the price would lead to liquidity chases and higher volatility.
However, given Bitcoin’s bandwidth-locked price action, market participants should remember that high spot volume does not automatically equate to copper dominance.
At the time of writing, Bitcoin was testing the realized price of $110.1k (cyan) for the 3-6 month age range. This was a crucial support level and has been tested twice before in the last ten days.
A price move below $110,000 at the close of the daily session on Thursday would be an alarming short-term signal.
The next realized price support (yellow) for investors who bought and held BTC in the last 6 to 12 months is $93.3k. This marked it as an important support level in the chain to keep an eye on.