Bitcoin fails to hold $80K as profit-taking caps gains

Bitcoin briefly challenged the $80,000 level again but failed to hold it, with profit-taking by existing holders acting as a constraint on further upside, according to an analysis by on-chain analyst Xwin Research Japan. The analyst said inflows into spot Bitcoin ETFs and falling U.S. Treasury yields were supporting buying demand, while existing holders were locking in gains and slowing additional upside. Most holders have moved back into profit based on on-chain indicators, the analyst said, adding that while broader investor profitability is improving, the volume of positions available for profit-taking has also increased. The analyst added that the SOPR ratio, which compares profit realization intensity between long-term and short-term holders, climbed to around 1.4 when Bitcoin approached $80,000. That indicated long-term holders were taking more profits than short-term holders at the time. If buying in ETFs and the spot market continues and Bitcoin decisively breaks above $80,000, the price could open the way toward the $88,000-$90,000 range, the analyst said. On the other hand, if support at $75,000-$76,000 breaks, short-term holder profitability could deteriorate quickly and deepen a price correction.