Bitwise CEO Hunter Horsley believes the sell pressure for Bitcoin will disappear once it surpasses the $130,000 threshold. “I think once Bitcoin breaks through, e.g., $130-150k, no one is going to sell their Bitcoin,” he stated in an X post on Wednesday.

Galaxy Digital founder Mike Novogratz recently supported that price projection, noting that strong institutional inflows and increasing interest in digital assets make it plausible this year.

Currently, Bitcoin is trading sideways near its all-time high. As of now, it’s priced at $108,698, just below the record of $111,970 set on May 22, according to CoinMarketCap. Over the past month, it has gained 6.12%.

Horsley explained that most of the current selling is coming from individuals who bought Bitcoin at much lower prices and are now taking profits as it approaches the psychologically significant $100,000 level.

“Right now at $100k, it seems individuals who hold a lot of Bitcoin that was bought a long time ago at very low prices are selling some,” he said. He added that this behavior is temporary and will fade. “Once Bitcoin breaks new levels, this will peter off,” he said.

Before Bitcoin crossed $100,000 on May 8, onchain data firm Glassnode had already observed a clear uptick in older investors offloading some of their holdings.

According to crypto analytics platform Bitbo, long-term holders — those who have held Bitcoin for over 155 days — are currently sitting on average gains of about 215%, having purchased at an average of $34,414. In contrast, short-term holders bought in at an average price of $97,911 and are holding onto much smaller profits.

Horsley noted that even when these long-term holders need liquidity in the future, they won’t necessarily sell their coins. “And from there on, when people need liquidity, they are going to borrow from an ever-growing set of lenders,” he said, adding: “All of which will further propel the price… There’s simply not going to be enough Bitcoin.”

MicroStrategy’s Michael Saylor echoed this view. On June 10, he pointed out that Bitcoin miners are releasing roughly 450 BTC per day — equal to around $50 million at current prices.

“If that $50 million is bought, then the price has got to move up,” he said, adding: “At the current price level, it only takes $50 million to turn the entire driveshaft of the crypto economy in one turn."

Sources:

https://cointelegraph.com/news/bitcoin-price-130k-sell-off-disappears-bitwise-ceo

https://charts.bitbo.io/sth-realized-price/#:~:text=Historically%2C%20when%20the%20market%20price,more%20likely%20to%20incur%20losses.

https://x.com/hhorsley/status/1932476580351390125?s=46

https://coinmarketcap.com/currencies/bitcoin/