As Bitcoin’s price declined, ranging between 80,000 USD and 90,000 USD, holders reacted differently, causing a divide where some decided to sell while others opted to borrow against their positions.
Borrowers utilize Bitcoin as collateral, allowing them to access liquidity while maintaining their assets. This strategy is thought to reflect confidence in Bitcoin’s long-term value, which influences market dynamics.
The ongoing distribution indicates significant selling pressure from traditional holders, contrasting with a solid cohort of borrowers who believe in Bitcoin’s future appreciation, demonstrating two narratives within the market.
Leave a Reply