Bitcoin (BTC) is facing renewed pressure as profit-taking among mid-cycle holders intensifies, fueling a significant pullback from recent highs. The world’s leading cryptocurrency, which has been trading within an ascending channel for the past month, encountered a sharp downturn after newer holders began realizing substantial profits. This has led to a sell-off worth nearly $1 billion in just a single day, raising concerns about whether BTC’s current rally can withstand the weight of aggressive short-term selling.

Data from blockchain analytics firm Glassnode reveals that Bitcoin holders who have maintained their positions for between 6 to 12 months—the so-called mid-cycle buyers—are driving the bulk of the current selling pressure. This cohort alone accounted for $904 million in realized profits in the past day, representing 83% of total realized gains across the market. The scale of this sell-off is second only to the April 2025 peak and serves as a clear signal that holders who entered the market during Q4 of 2024 are now actively distributing their coins to lock in gains.

This recent profit-taking wave is not evenly distributed across all investor segments. Long-term holders (LTHs), those who have held Bitcoin for more than a year, appear to be sitting out this round of selling. According to the latest metrics, LTHs realized only $324 million in profits—substantially less than the $1.2 billion they offloaded during the previous price top. The decline in profit realization among LTHs is further backed by a drop in the Spent Output Profit Ratio (SOPR) for this group, which fell from 3.4 to 1.8. A lower SOPR means LTHs are realizing fewer profits per coin spent, a sign that they’re refraining from selling in large volumes.

This behavioral divergence between mid-cycle buyers and long-term holders is becoming increasingly evident in Bitcoin’s price movement. While short-term and mid-term holders are exiting positions to capitalize on profits, older coins remain largely dormant. Such contrasting actions create an uncertain environment for Bitcoin’s short-term trajectory. Long-term confidence appears to be holding firm, while shorter-term activity is injecting volatility into the market.

The immediate impact of this selling pressure was reflected in Bitcoin’s price, which slipped from $108,990 to a low of $106,853 in less than 24 hours. This decline pushed BTC back into its previous consolidation zone, signaling that the bullish momentum seen earlier in the week may have been premature or unsustainable in the face of heavy selling from profit-driven investors.

What this means for Bitcoin going forward is a period of likely consolidation. If newer coins continue to flood the market, pushing prices lower while long-term holders stay on the sidelines, BTC may remain range-bound between $104,000 and $106,000. In this scenario, the responsibility falls on LTHs to absorb the selling pressure, preventing a more significant price breakdown. However, unless profit realization from newer holders eases, any attempts to rally above $107,000 or toward the $110,000 mark may be quickly rejected.

Still, the lack of panic selling among seasoned holders is a positive sign for Bitcoin’s long-term outlook. Their conviction adds a layer of stability to the market and suggests that the broader bullish structure remains intact, even if short-term volatility continues.

Ultimately, Bitcoin’s path will depend on whether profit-taking from recent buyers slows and whether market sentiment shifts toward accumulation again. Until then, BTC may continue to swing within its current range, caught between short-term selling and long-term belief.