Bitcoin enters the distribution phase as the accumulation trend score drops to 0.21

Large Bitcoin holders are selling their assets as the accumulation trend score dips. According to Glassnode’s report, the accumulation trend score stands at 0.21 amid declining Bitcoin prices. Bitcoin is currently trading at $93,814, a 3.46% drop in the last 24 hours. Bitcoin whales are selling more of their holdings Glassnode reveals that Bitcoin entered its distribution phase at the beginning of the year, suggesting that most BTC holders are now selling their assets. Source: Glassnode In an X post on January 8, Glassnode commented : The Bitcoin market has shifted into a distribution phase at the turn of the year, with Accumulation Trend Score currently at 0.21. This suggests net selling across most holder cohorts. Glassnode The Glassnode report even shows that BTC selling has been more prevalent among large whales with more than 10,000 BTC. Large whales have been consistently selling since September; however, their selling pace has picked up in January. Moreover, selling activity among BTC holders of 1000 to 10,000 BTC has intensified in the last few weeks, hinting at diminished confidence or profit-taking among major players. CryptoQuant’s data even supports the idea that multiple investors are profiting from selling Bitcoin. From its report, the Adjusted Spent Output Profit Ratio (aSOPR), a vital profitability metric, has moved up to 1.04. BTC is in its cooling phase as on-chain activity dwindles Once Bitcoin crossed the $108,000 mark, its price value slumped, causing many analysts to question whether it had just concluded its bullish momentum. Some have even suggested that BTC traders could see a longer correction phase in the coming months. BTC rebounded on January 6, bringing its price to over $100,000. However, the token slid by over 3.05% today and is currently going for only $94,742. Additionally, the adjusted SOPR (Spent Output Profit Ratio) has remained above 1 over the past week. Historically, a drop below 1 often precedes Bitcoin rebounds, as loss-driven selling typically triggers reversals in bull market conditions. Meanwhile, the cumulative network fees within a 7-day SMA are on a decline, showing reduced on-chain activity. Avocado, a crypto analyst, has suggested that the current BTC market conditions indicate a cooling-off period more than the conclusion of a bull market. Land a High-Paying Web3 Job in 90 Days: The Ultimate Roadmap