Bitcoin's steady climb toward the $100,000 mark has been met with significant selling activity from long-term holders, leading analysts to speculate about a possible market top. The sell-off has sparked concerns about a shift in market sentiment, potentially turning bearish if demand from buyers begins to wane.

Describing the current state of the Bitcoin market, CryptoQuant contributor Maartuun likened it to a game of "musical chairs," urging traders to "be prepared when the music stops."

Long-Term Holders Shed Massive BTC Holdings

Since Nov. 8, wallets holding Bitcoin (BTC) for at least 155 days have offloaded 827,783 BTC, valued at approximately $82.6 billion at the current rate of $99,200 per Bitcoin. This sell-off represents a significant chunk of the market, according to Maartuun.

Among notable transactions, Michael Saylor’s MicroStrategy added 149,800 BTC to its holdings, while 84,193 BTC flowed into spot Bitcoin exchange-traded funds (ETFs). However, these acquisitions account for only about 30% of the BTC being sold by long-term holders.

Despite the heavy selling pressure, Bitcoin's price remains resilient, thanks to retail demand hitting yearly highs. According to CryptoQuant's retail demand chart, interest in Bitcoin futures trading is also climbing, with CoinGlass reporting Bitcoin Open Interest (OI) at $61.2 billion.

Bitcoin Holders Enjoy Significant Unrealized Gains

Long-term Bitcoin holders are currently sitting on substantial unrealized profits, with Bitbo data showing the average realized price for these investors at $24,481 per BTC. This equates to an average gain of nearly 400%, considering Bitcoin's current price of $99,203.

Maartuun warned that metrics such as the sell-side risk ratio and net taker volume could point to a market peak. Similarly, Real Vision’s chief crypto analyst Jamie Coutts highlighted deteriorating liquidity conditions as a potential threat to Bitcoin's ongoing rally.

Coutts remarked that while Bitcoin has reached new all-time highs, the current liquidity backdrop could limit the rally’s duration. He stated that if liquidity conditions deteriorate further, the euphoric rally could end sooner than anticipated.

BTC to INR Conversion Rates

For Indian investors closely monitoring the market, the BTC to INR conversion rate has become increasingly important as Bitcoin's price fluctuates near record highs. Tracking these rates can help traders make informed decisions during volatile market conditions.

At the time of writing, Bitcoin was trading at $99,203, with market sentiment divided over whether the rally will continue or face a correction.