Long-term Bitcoin holders begin selling, potentially signaling turning point

Research firm Compass Point has noted that long-term Bitcoin holders have joined the current wave of cryptocurrency sell-offs, which may signal an imminent turning point in the ongoing crypto market downturn.

In a report released Tuesday, Compass Point analyst Ed Engel stated that these long-term holders have remained largely inactive between February and April this year but have recently shifted into net selling mode over the past few weeks. According to Engel, approximately 26% of the Bitcoin sold over the past 30 days came from investors whose cost basis exceeded $90,000.

Engel added that high-cost buyers have shown remarkable resilience throughout the bear market, but as Bitcoin approaches new lows in this cycle, they are finally capitulating. Capitulation by high-cost buyers is a common hallmark of late-stage bear markets, reinforcing the view that Bitcoin's bear market is entering its final phase.