Bitcoin Stagnates Near $100,000 Amid Miner Selling Pressure

Bitcoin has been trading within a narrow range between $100,000 and $110,000 for over 40 days, indicating a period of consolidation rather than a sustained rally. This price range has been maintained despite significant inflows into spot ETFs, which have seen over $5 billion in investments. These inflows have supported Bitcoin's price above the $100,000 mark, but the cryptocurrency has struggled to break through the $110,000 resistance level.

One notable contributor to this stagnation is the selling pressure from Bitcoin miners. Miners, who are responsible for validating transactions and adding them to the blockchain, have been selling their holdings to cover operational costs and maintain profitability. Recent data shows they’ve sold 30,000 BTC in just 20 days, lowering their total holdings from 1.94 million to 1.91 million BTC. While this isn’t huge compared to the total market volume, it adds to the overall pressure keeping Bitcoin from breaking higher.

Another factor contributing to the selling pressure is the behavior of short-term holders. Over the last few weeks, Bitcoin has faced heavy selling pressure from different types of holders. Wallets that held Bitcoin for less than a year accounted for 83% of realized profits recently. Just six to twelve-month holders alone sold over $904 million worth of BTC, one of the highest selling amounts this year. Even long-term holders who’ve kept their BTC for over a year are cashing out. In early June, they realized a massive $1.2 billion in profits. While that number has dropped, it still shows how veteran investors are using this range to take money off the table.

At the same time, some institutional investors are shifting their focus. Delta-neutral strategies, which involve locking in gains without price risk, are giving returns of 15–30% APY. That’s attractive compared to holding Bitcoin, which has already seen huge gains from $75K to $100K in under two months. With fewer explosive gains expected from Bitcoin now that it’s over $100K, some funds are diversifying into gold, stocks, or private assets.

Despite recent volatility in the crypto market, Bitcoin continues to trade above the $100,000 mark, currently hovering around $104,665. According to on-chain analytics, this price stability is accompanied by notably low funding rates, which is an encouraging sign for the market’s overall health. Funding rates are a key indicator in the crypto derivatives market. When these rates are low, it means there isn’t a surge of traders using leverage to bet on Bitcoin’s price moves.

Bitcoin’s next big breakout likely depends on broader liquidity returning to markets. The key levels to watch are $102,000 and $106,000. The Federal Reserve's decision to maintain stable interest rates has provided a supportive environment for risk assets, including cryptocurrencies. Bitcoin's price has reflected this stability, with a 0.43% increase in the past 24 hours, trading at $104,364. This stability in interest rates has helped to mitigate some of the selling pressure and provided a foundation for a potential rally.

However, the path forward for Bitcoin remains uncertain. Analysts have predicted that a rally to $110,000 could be imminent, but this forecast is contingent on several factors, including a reduction in selling pressure from miners and a shift in market sentiment. Until these conditions are met, Bitcoin is likely to remain in its current range, with investors closely monitoring developments in the broader cryptocurrency market.