• Bitcoin (BTC) and Ethereum (ETH) are currently seeing green movements in the market and posting gains.
• There is evidence of massive profit-taking happening across the two largest cryptocurrencies in the market.
• This could have severe implications for the current mini-bull run being experienced.
The crypto market is currently in a state of flux as the prices of Bitcoin (BTC) and Ethereum (ETH) have crossed over into pre-FTX crash levels and have been rallying since then. Both assets have seen substantial gains since the start of 2021, leading to a mini-bull run in the market. However, recent data from on-chain analytics firm Santiment shows that there is a large amount of profit-taking happening across these two digital assets.
The data reveals that the level of profit-taking is now at 2021 levels, which was when the bull run was at its peak. Bitcoin’s profit-taking has risen to February 2021 levels, while Ethereum has surged to October 2021 levels, just before the digital asset hit its all-time high price of $4,800. This could be a sign that investors are not confident that the current rally will last, and could lead to a bearish sentiment in the market.
There is no telling how this will affect the crypto market in the coming weeks, but it is clear that investors are becoming more cautious about their investments. With Bitcoin and Ethereum being two of the largest digital assets in the market, any major sell-off could have a ripple effect across the entire market. It is important to keep an eye on the market and remain vigilant when making investment decisions.