Bitcoin’s recent rally to $74,050 on Thursday is coming under immediate selling pressure as short holders are moving the coin to exchanges in large numbers, indicating that the market’s reactive group has not believed in a recovery.
On-chain data shared by CryptoQuant contributors shows that traders who bought Bitcoin just weeks ago are now giving up their profits, instead of holding on to the jump and creating a new pocket of supply, just as the market is trying to stabilize.
Short-term holders of Bitcoin Cash In
According to CryptoQuant contributor Darkfost, more than 27,000 BTC of profits were sent by short-term holders (STHs) to the exchange in the last 24 hours, one of the largest rates recorded in recent months. Metric coins are being moved to exchanges by investors who are currently profiting, which is often interpreted as a precursor to possible selling pressure.
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“Despite Bitcoin’s slight recovery, STHs (Short Term Dominions) don’t seem confident and will take profits soon,” wrote Darkfost. “In the last 24 hours, STHs have sent more than 27,000 BTC of profit to exchanges, which is among the highest levels seen in recent months.”
The dynamics is concentrated among the last buyers. According to the analysis, the only group that can now make a significant profit consists of investors who collected Bitcoin between a week and a month ago at a price of about $68,000.
This positioning puts them directly in the money after Bitcoin’s recent jump into the low $70,000 range, creating a natural incentive to exit the position quickly.
Darkfost noted that “STH is known for being reactive and emotional, especially among the youngest groups.” “Current news flows and macroeconomic forecasts remain very negative in the short term, which makes this behavior relatively understandable and, for that matter, very reasonable.”
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At the same time, this behavior becomes the closest supply. “This shows selling pressure for control as STH is not ready to hold its positions for long,” he said.
A repeating pattern around highs
Analyzing the market structure points to another pattern that can boost sales. CryptoQuant contributor Maartunn noted a recurring technical setup that has played out many times in recent months: brief breakouts from key resistance levels followed by a quick reversal.
“Deviations above the High Range are sold,” Martunn wrote. “Over the past few months, BTC has shown the same pattern three times: a break above the high range, a short-term deviation, a sharp move lower.”
The latest event occurred when Bitcoin briefly pushed above the ceiling of the range near $71,000 before stopping. “The last change was only about $71,000,” he said. “If history repeats itself, this level could once again act as a trap for a long time.”
The pattern appeared in early October 2025 and mid-January 2026. Breaks above the local level followed a quick pullback, reinforcing the view that liquidity above the resistance level was primarily used as an exit point for sellers.
At press time, Bitcoin was at $70,127.
Featured image created with DALL.E, chart from TradingView.com
