Bitcoin Bulls Exhausted? – 4 Signs Indicating a Possible Sell-off Trend for BTC

The value of Bitcoin has fallen significantly in the past week, from a high of 110,000 dollars to 103,000 dollars. As of now, Bitcoin is fluctuating around 103,707 dollars, marking a decrease of 3.88% over the past seven days. Analysts Predict Further Falls This sudden change in the trajectory of Bitcoin has led to many discussions among analysts about the direction of this cryptocurrency. Axel Adler from CryptoQuant is one of those who believes that the price could fall to 92,000 dollars, arguing that this prediction is due to the market being too hot. According to Adler, the net UTXO supply ratio of Bitcoin has flashed four consecutive sell signals, along with a significant decrease in the UTXO Ratio. This combination typically indicates an overheated market, a phase when profit-taking occurs and demand begins to outstrip supply. Weak Market Signal On-chain data supports Adler's hypothesis. The net unrealized profit of Bitcoin has fallen to 0.553, the lowest in several weeks. This decline indicates that most holders are currently holding less profit than before, suggesting a weak market. Investors who bought Bitcoin in the range of 104,000 to 112,000 dollars are currently facing losses. These conditions could lead to a market capitulation as panic selling begins, causing further declines. Adler believes the market needs a significant reset at this time. This reset could result in Bitcoin trading sideways in the range of $95,000 to $105,000 until the net UTXO supply ratio stabilizes around 0.85 - 0.9. Additionally, a stronger pullback to $92,000 could occur beforehand, easing the current overheated structure. Selling Pressure Increases In addition to the weak profit figures, the Taker Buy-Sell Ratio has remained negative for four consecutive days, indicating high selling activity. If this selling pressure continues, Bitcoin could fall to $101,488. If this support level cannot be maintained, it may drop below $100,000, with the next support level around $98,890.