Bitcoin Price Drop Expected to Be "Less Sudden" as Realized Profits Decline 76%

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Bitcoin's daily realized profit metric has dropped by 76% since the initial hype around $100K BTC began fading, according to cryptocurrency analysts. While some predict milder future declines, skepticism remains about market stability.

Signs of "Reduced Seller Pressure" Emerge

On December 6, Bitcoin (BTC) plummeted nearly 10% from $103,493 to below $93,000 within 24 hours—just one day after first breaching the $100K threshold.

The abrupt price drop from $98,338 to $92,957 triggered over $303.5 million in long-position liquidations within an hour, totaling $404 million in 24-hour liquidations. However, Bitfinex analysts note "signs of market stabilization are appearing."

"During Bitcoin's surge to $100K, realized profits (RP) peaked at $10.5B daily. This has since fallen to ~$2.5B daily—a 76% decline."

This cooling profit-taking suggests future sell-offs may be "less drastic." At press time, BTC trades at $97,483 (CoinMarketCap data).

Key Market Shifts:

👉 Why Bitcoin's volatility matters for traders

Long-Term Holders Cash In

With LTHs (long-term holders) realizing prices at $24,481, massive sell-offs occurred during BTC's climb toward $100K. Analysts warn this could signal a potential market top.

"It's musical chairs: enjoy the ride but prepare for the music to stop," remarked Maartuun, CryptoQuant contributor (December 8).

FAQs

Q: Will Bitcoin drop below $90K again?
A: While Bitfinex predicts less sudden dips, Glassnode's James Check warns current seller pressure "overwhelms ETF/MSTR demand."

Q: What does realized profit decline indicate?
A: Reduced daily profit-taking (from $10.5B to $2.5B) suggests weaker immediate sell pressure but doesn’t guarantee long-term stability.

Q: Are funding rates reliable stability indicators?
A: Stabilizing rates (e.g., 0.01% on Binance) hint at balanced leverage, but Check notes "intense signals" persist in derivatives markets.

👉 How to interpret crypto market indicators