Bitcoin News Today: Long-Term Bitcoin Holders Drive Profit-Taking as Bull Run Enters Consolidation Phase

Bitcoin’s profit-taking dynamics have shifted, with on-chain analytics indicating that the current wave of selling activity is primarily driven by long-term holders who entered the market during the previous cycle, rather than newer investors or speculative buyers. According to on-chain data shared by Glassnode, the Realized Profit of Bitcoin long-term holders (LTHs)—defined as investors holding BTC for more than 155 days—has seen a noticeable slowdown this month, following a surge in profit-taking earlier in the year [1].

The 7-day moving average of LTH Realized Profit exceeded $1 billion daily in July, reflecting one of the largest profit-taking events in recent history [1]. However, the composition of the holders participating in this activity has changed compared to the November-December 2024 peak. At that time, the profit-taking was led by newer LTHs who had recently entered the group, many of whom were early adopters of Bitcoin spot ETFs launched at the start of 2024 [1]. In contrast, the recent selloff has been dominated by LTHs in the 3-year to 5-year age band, representing investors who bought during the 2020-2022 price cycle [1].

This shift suggests a more mature market dynamic, where long-term participants are now playing a central role in price action. These investors, having held their positions through multiple market cycles, are likely taking advantage of Bitcoin’s current price rally to lock in gains. Their participation indicates a strong enough price push to encourage even the most patient holders to consider selling, a sign of a robust and well-supported bull market [1].

Despite this, the current wave of profit-taking appears to be cooling. As of now, Bitcoin is trading around $119,500, up more than 4.5% over the past seven days [1]. While the price has not yet broken the all-time high set in July 2025, it has remained in a tight range near the $117,000 level, signaling a period of consolidation. The Bull Score Index has dropped to 60, indicating a slowdown in bullish momentum, and exchange inflows have also shown signs of tapering [7]. This suggests that the market is currently digesting gains and preparing for the next phase of movement.

The broader context points to a structural shift in Bitcoin’s price drivers. The traditional 4-year halving cycle is becoming less relevant as macroeconomic factors and institutional demand take precedence [8]. ETF activity and large-scale market participants are now the primary forces shaping Bitcoin’s trajectory, signaling a more mature market where fundamental factors such as demand and regulatory clarity play a greater role [8].

As the market transitions into this new phase, the strategic behavior of seasoned investors is becoming more influential. With the bull market that began in Q4 2022 still intact, the absence of bearish signals suggests that the upward trend could continue. However, the rise in structured trading behavior indicates a more measured approach to profit-taking and risk management [9].

Source:

[1] https://bitcoinist.com/bitcoin-profit-taking-power-last-buyers-drivers/

[7] https://www.ainvest.com/news/bitcoin-news-today-bitcoin-consolidates-117k-bullish-momentum-slows-2508/

[8] https://cryptonews.com/news/bitcoins-4-year-cycle-is-dead-says-pierre-rochard-heres-what-drives-btc-price-now/

[9] https://www.reddit.com/r/CryptoCurrency/comments/1mn7vjs/how_to_take_profits_like_a_pro_during-the/