CryptoQuant: Bitcoin may find support at $110,000, a price level that will reduce traders' incentive to sell

According to CryptoQuant analysis, Bitcoin is currently experiencing slowing demand and profit-taking. Since July, apparent demand for Bitcoin has fallen by two-thirds, from a peak of 174,000 to the current 59,000. Meanwhile, demand from US ETFs and institutional buyers has also declined significantly, with 30-day net ETF purchases falling to 11,000, the lowest since April. Market sentiment has shifted from "extremely bullish" to "cooling bullish," and Bitcoin's price has slowed after breaking through $120,000. Furthermore, since July, Bitcoin holders have realized $74 billion in net profits, including $2 billion in profits for whale investors on August 16th. CryptoQuant believes that Bitcoin's downside risk is limited, with $110,000 likely acting as support. This price, realized by on-chain traders, could reduce market participants' incentive to sell.