Bitcoin has on-chain resistance levels between $62,000 and $65,000 that could affect future rallies. This resistance is linked to the cost basis of short-term holders (STHs), who are investors that bought Bitcoin within the past six months. The "Realized Price" is a key metric here, indicating the average acquisition price on the network.
According to CryptoQuant's Axel Adler Jr, the Realized Price for STHs is currently around $64,000, meaning these investors are in a net loss.
Different subdivisions of STHs show varying levels of loss, with those who bought between 3 and 6 months ago having a cost basis of $65,800, the 1- to 3-month investors at $64,200, and the newest buyers (1 week to 1 month) at $62,400 per token.
STHs are particularly sensitive to retests of their cost basis and may attempt to sell once Bitcoin reaches these levels to recover their investments. Consequently, Bitcoin could experience resistance at these price points.
Bitcoin had recently risen above $61,000 but has since dropped back to $59,000, reflecting some of these on-chain dynamics.
