Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

The price of Bitcoin has been stuck within the $81,000 to $86,000 consolidation range over the past week, showing a high level of indecisiveness between the bulls and bears. While most on-chain indicators are painting a bearish image for the premier cryptocurrency, the latest piece of data suggests that the bull run might not be over just yet.

BTC Investors Not Yet In Full Panic Mode: Blockchain Firm

In a new post on the X platform, blockchain analytics firm Glassnode revealed that a specific class of Bitcoin holders known as the “short-term holders” (STH) are facing increasing market pressure. This on-chain observation is based on the value of unrealized losses of this investor cohort.

For clarity, an unrealized loss refers to one that is still on paper, as the investor is still holding on to and selling an asset (with a declining value). A loss only becomes “real” or “realized” when the holder sells the asset at a value lower than the purchase price.

According to Glassnode, the unrealized losses of Bitcoin investors have been climbing in recent weeks, specifically pushing the short-term holders toward a significant +2σ threshold. The STH Relative Unrealized Loss metric hitting the extreme +2σ threshold has been associated with increased selling pressure in the past.

However, Glassnode noted that the size of the STH losses still falls within the range typically observed in a bull market. Specifically, the magnitude of these losses pales in comparison to the market-wide sell-off witnessed in 2021, suggesting that the bull cycle might not be done yet.

Source: @glassnode on X

To further illustrate this, Glassnode revealed that the rolling 30-day realized loss for Bitcoin’s short-term holders has now surpassed $7 billion, representing the largest sustained loss event in the current cycle. Despite the significance of this figure, it is still far less severe than the capitulation events seen at the start of past bear markets.

For instance, Bitcoin’s realized losses rose to as high as $19.8 billion and $20.7 billion during the major price corrections in May 2021 and 2022, respectively. Considering that the realized losses are still well below past capitulation events, there is a chance that the market has not yet reached a full-scale panic mode.

Bitcoin Price At A Glance

As of this writing, the price of Bitcoin stands at around $84,300, reflecting a 0.3% increase in the past 24 hours. According to data from CoinGecko, the flagship cryptocurrency is down by merely 0.6% in the past seven days, emphasizing the choppy state of the market.

The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView

Featured image from iStock, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.

Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Bitcoin proponent Michael Saylor has publicly stated that the European Union should consider buying Bitcoin, especially after the Euro experienced a recent drop in value. According to reports, the Euro (EUR) has weakened against the United States dollar (USD) since yesterday.

The decline followed a report from the Federal Reserve that many interpreted as leaning towards lower interest rates in the future. The Euro’s value fell from a high of 1.08 against the USD on Thursday to its current level of 1.07.

“Europe gonna need Bitcoin” – @saylor

With rising debt, inflation and financial centralization — a digital euro (CBDC) set for launch in 2025 — Bitcoin is not just an option, it’s the alternative… The question is not if but when Europe will realize it. https://t.co/3AkOUnbBwY pic.twitter.com/AG01HkR4ex

— BTC Prague (@BTCPrague) March 20, 2025

Euro Under Pressure Following Fed Signals

The recent weakening of the Euro occurred after the Fed decided to keep interest rates steady. These rates have remained between 4.25% and 4.50% since December. However, Federal Reserve Chair Jerome Powell reportedly suggested the possibility of a 50-basis-point rate cut before the end of 2025.

Furthermore, the Central Bank has been under pressure from US President Donald Trump to cut interest rates, claiming that this is the proper course of action.

The greenback has increased in relation to other currencies, particularly the Euro, as a result of the rally in US stocks and bonds brought on by these dovish US sentiment.

Saylor’s Bitcoin Pitch As A Potential Hedge

Saylor, executive chairman and co-founder of MicroStrategy (now Strategy), said on social media that Bitcoin might provide a remedy amid this currency movement. In a statement made public this week, Saylor appeared to urge the European Union to proceed swiftly with any intentions to purchase BTC.

EUR gonna need BTC

— Michael Saylor⚡️ (@saylor) March 20, 2025

He implied that if the EU had held Bitcoin, it could have acted as a protection against the recent decrease in the Euro’s value. For context, the price of Bitcoin has risen by 2.6% against the US dollar in the last 24 hours, trading at $85,400, at the time of writing.

Saylor also pointed out how the US dollar has far outperformed the Turkish Lira (TRY) since 2021, and how this has resulted in a significant devaluation of the Turkish currency. He observed that Bitcoin has been among the top-performing assets in the same timeframe.

EU’s Potential Crypto Venture Gains Traction

A member of the European Parliament, Sarah Knafo, has recently urged the EU to consider establishing a strategic reserve of Bitcoin.

She highlighted the apparent success of El Salvador, a country that has officially adopted Bitcoin. According to reports, El Salvador’s economy has been transformed through President Nayib Bukele’s adoption of Bitcoin and other forward-thinking initiatives.

Featured image from Gemini Imagen, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.

Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

As Bitcoin (BTC) continues to trade in the low $80,000 range, a key macroeconomic development promises to benefit the leading cryptocurrency. If historical patterns hold true, then BTC may not be too far from another massive price rally.

Rise In M2 Money Supply To Benefit Bitcoin?

According to an X post by crypto analyst Master of Crypto, a rebound in global M2 money supply holds the potential to reignite BTC’s bullish momentum. The analyst explained that M2 – a leading indicator – often predicts significant shifts in Bitcoin’s price trajectory.

For the uninitiated, M2 money supply is a measure of the total money circulating in an economy, including cash, checking deposits, savings accounts, and other liquid assets. It’s a key indicator of liquidity, influencing inflation, economic growth, and financial markets, including emerging assets like Bitcoin.

Master of Crypto noted that historically, M2 movements tend to predict BTC’s price momentum with a 70-day lag. The analyst added:

Recently, as M2 began to rebound before BTC, it’s now fully recovered and poised to hit new peaks suggesting BTC might do the same. Analysts have insights on why this upcoming BTC rally could surpass all previous ones.

Fellow analyst James echoed these views, highlighting that BTC may experience another price rally after a brief period of dip and consolidation.

Crypto analyst The M2 Guy provided further insight, suggesting that if the 70-day lag holds, BTC’s next rally could start around March 24. He added that an alternative scenario – based on a 107-day lag – points to April 30 as the potential breakout date.

Technicals Point Toward BTC Take-Off

Crypto trader Merlijn The Trader identified a possible breakout from a falling wedge pattern – a historically bullish formation for Bitcoin. On average, BTC has delivered 66% returns following a breakout from this pattern on the three-day chart. A similar move now could propel BTC to new all-time highs (ATH).

Moreover, Merlijn noted that BTC is also tracking a megaphone pattern. However, he cautioned that Bitcoin must hold above $72,000 for this bullish structure to remain intact.

Crypto expert Burak Kesmeci pointed out that a recovery in the U.S. stock market may be crucial for Bitcoin’s next surge. He emphasized the strong correlation between cryptocurrencies and traditional equities, suggesting BTC could struggle if stocks remain weak.

Meanwhile, well-known American gold advocate Peter Schiff issued a bearish warning. He argued that BTC isn’t out of the woods yet – predicting a potential “catastrophic drop” if the NASDAQ enters a bear market. At press time, BTC trades at $83,826, down 1.7% in the past 24 hours.

Featured Image from Unsplash.com, charts from X and TradingView.com

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.