According to onchain data, short-term holders of Bitcoin are currently experiencing unrealized losses after the recent price drop. Around 88.3% of the supply controlled by short-term holders has dropped into unrealized losses, with only 11.7% still in profit.
This has led to an increase in the flow of short-term holder-owned coins into exchanges, indicating potential liquidation or use as margin in derivatives trading. The unrealized losses of short-term holders are seen as a critical problem for the market, with the current market set-up for BTC being described as fragile.
All Comments