📊 Those most affected by the current dynamics in Bitcoin remain short term holders (STHs), investors who bought their BTC less than six months ago. —> At present, their cost basis is around $85,400, well above the current market price. 💥 As a result, they are now sitting on average unrealized losses of roughly 19.4%. This situation typically leads to two main types of behavior : • Some investors remain patient and continue holding their BTC until they transition into LTHs. (This dynamic is already visible, with LTH supply increasing by ~ 300,000 BTC.) • Others may panic and choose to exit the market, either at a loss or with small profits for those who entered more recently. It is this latter group that tends to make the market more erratic and can trigger capitulation phases. Historically, when STHs experience more than 25% unrealized losses 🔵, these levels often coincide with the early stages of market bottoms. However, these periods are also characterized by heightened volatility, during which the least resilient investors are more likely to capitulate.