Analyst Jordi Visser compares the current crypto market to the post-dot-com bubble era of the 2000s. Large holders of Bitcoin and other assets are distributing positions, pressuring prices and preventing new highs. Just like back then, investors prioritize liquidity over growth.
According to CryptoQuant, the massive sell-off by long-term holders and low demand create an imbalance between supply and demand. This explains the market's difficulty in sustaining prices near $110,000 for BTC and the risk of a drop towards $92,000 if demand does not return.
Still, Visser considers this phase as a healthy consolidation, not a collapse. The distribution between old and new investors strengthens the market in the long term, although it frustrates impatient traders. Recovery could come in less than a year, marking the end of this lateral phase.
Are we facing a healthy correction or the start of another crypto winter?
