Crypto Market Takes A Breather

Key Takeaways

• The crypto market faced nearly $1 billion in long liquidations on Wednesday morning, stymieing Bitcoin and Ethereum’s momentum and punishing altcoins. We viewed this as generally healthy market behavior and conducive for the next leg up.

• Long-term holders took profits off of the table following Bitcoin’s recent ATH – selling 39.6k BTC while short-term holders bought 51.3k BTC. The reentrance of short-term holders into the market is generally a good sign for price.

Metrics such as new address growth and DEX user growth point toward potential outperformance for altc...