Market Overview and Key Trends
- •Bitcoin’s permanent holders continue to accumulate, absorbing short-term selling pressure and strengthening market foundations.
- •The realized price for long-term holders has reached approximately $78,500, indicating institutional and whale confidence.
- •Expected rate cuts and a rising M2 money supply are contributing to liquidity expansion, supporting a potential faster recovery in BTC price momentum.
Long-Term Capital Accumulation
Bitcoin (BTC) is demonstrating resilience despite recent price volatility. Long-term holders are continuing to accumulate amid short-term selling pressure, as reported by CryptoQuant. Analysis from Blackbird Insights indicates a steady increase in inflows into “permanent holder” wallets – those that have never recorded an outflow. This trend reflects growing confidence from institutional investors, funds, and high-net-worth individuals.
BTC Permanent Holders Absorb Selling Pressure as Accumulation Accelerates
“The realized price of these holders has continued to climb, reaching around $78.52k, indicating that long-term-oriented capital is accumulating even at relatively higher price levels.” – By @MAC_D46035 pic.twitter.com/xt2KqTIumL
— CryptoQuant.com (@cryptoquant_com) November 7, 2025
The realized price, which represents the average acquisition cost for these permanent holders, has climbed to approximately $78,520. This metric indicates that long-term capital is actively absorbing market supply, even at relatively elevated price levels. This rotation of ownership from short-term traders to stronger hands is strengthening the overall market foundation. Market experts suggest that a significant downturn, or a prolonged "crypto winter," would likely only occur if BTC were to break below this realized cost basis.
While short-term volatility might be triggered by factors such as a potential U.S. government shutdown, corrections in equity markets, or elevated premiums in the South Korean market, the ongoing accumulation trend underscores growing institutional conviction and a strengthening BTC foundation.
Liquidity Expansion and Recovery Potential
The broader market is also entering a phase of liquidity expansion. This is being driven by expectations of future U.S. interest rate cuts, the conclusion of quantitative tightening (QT), and a rising M2 money supply. These macroeconomic conditions suggest that the current cycle could experience a faster recovery in price momentum compared to previous prolonged downturns.
Despite near-term uncertainties, Bitcoin's continuous accumulation by permanent holders and improving liquidity conditions signal resilience. These factors position BTC for potential upward momentum in the medium term. Analysts recommend monitoring the realized price floor as a critical indicator for assessing market stability and the potential depth of any price corrections.
Further reinforcing the bullish outlook, on-chain indicators also point towards a potential trend reversal. In an earlier analysis dated April 13, CryptoQuant contributor Joao Wedson highlighted a narrowing gap between Bitcoin’s futures and spot prices on Binance, often referred to as the perpetual-spot gap. This contraction typically signals a shift in market sentiment and may indicate a transition from consolidation to upward price momentum.