Over the long haul,
Bitcoin miners have also contributed to less selling pressure, as fewer coins are being moved to exchanges—a sign that many are choosing to hold rather than sell. According to Marketwatch, Bitcoin’s total market value has climbed to $2.29 trillion, making up 56% of the entire cryptocurrency sector, as miners prefer to keep their holdings during market rallies. This marks a change from past cycles, where halving events usually sparked more selling. CryptoQuant analyst Arab Chain observed that miners are now holding Bitcoin in hopes of future gains, a move bolstered by increasing institutional involvement and reduced supply.
In contrast, short-term traders are grappling with greater risks due to Bitcoin’s heightened price swings. Liquidations have risen sharply, with $231 million in long positions erased in a single day after prices slid below $113,000. Data from Coinglass shows that over $500 million in leveraged long bets are at risk of liquidation if the market drops further, with bearish sentiment still dominant. Michael Saylor, MicroStrategy’s CEO, has pointed to Bitcoin’s dual identity as both a short-term trading vehicle and a long-term treasury asset—stressing the importance of a well-rounded approach. Notably, institutions like MicroStrategy and
Regulatory changes and market forces are also encouraging long-term holding. New rules like the U.S. GENIUS Act and the EU’s MiCA framework have tightened oversight on stablecoins, limiting regulatory loopholes and boosting institutional confidence. While Europe’s adoption is uneven due to regulatory complexities, U.S. companies benefit from clearer policies, making it easier to add Bitcoin to corporate treasuries. Analysts say Europe’s slower pace is due to stricter investment rules and less retail involvement, while the U.S. has surged ahead thanks to market liquidity and unified regulation.
Despite intimidating volatility for short-term traders, long-term investors often benefit. Historical trends show that early holders reap significant returns as Bitcoin’s market cap expands. Anthony Scaramucci has pointed out that even with short-term turbulence, greater institutional participation—especially with risk management strategies—will help steady the market over time. As regulations and custody solutions improve, speculative trading may decline, bringing Bitcoin’s performance more in line with traditional asset classes.
To sum up, evidence shows that long-term Bitcoin investors are better equipped to weather market ups and downs compared to those trading over shorter periods. Whale activity, institutional buying, and miners’ choices all indicate a maturing market that rewards patience. Industry experts and major institutions continue to favor a long-term strategy, highlighting Bitcoin’s strength as a store of value and its ability to adapt to changing regulatory environments.
Source: [1] Bitcoin Price Prediction: $250K Target Stands Despite Sell-Off [2] Bitcoin Selling Pressure Rises: Will 2025 Start On a … [3] Bitcoin Miners’ Reduced Selling Fuels BTC Rise to $116K [4] BTC Price: Sell Pressure Spills Over Into The Weekend, … [5] Bitcoin adoption in EU limited by ‘fragmented’ regulations — Analysts [6] Crypto rule comparison: the US GENIUS Act versus EU's MiCA [7] Exploring Bitcoin’s Volatility and Institutional Impact