Despite Bitcoin’s struggle to break higher since the latest rejection from the $70k mark, the majority of BTC holders remain profitable. Although MicroStrategy purchased 11,931 BTC worth $786 million using proceeds from a recent convertible notes offering, the slight uptick in Bitcoin price to above $65,000 has ended with the flagship cryptocurrency falling back under $64,000.

Despite this, data from IntoTheBlock shows that 87% of BTC holders are still in profit. Most holders are above water, having acquired BTC at average prices that are relatively lower compared to the current level. On-chain data indicates that 46.72 million addresses are currently in the money, while 5.68 million, or nearly 11%, are holding their coins at a loss. Only 2.67%, or 1.44 million addresses, are at the money, having acquired BTC at average prices corresponding to the current trading price.

Bitcoin Price Struggling for Upside

Bitcoin, which hit an all-time high above $73k in March, has faced challenges over the past few weeks. BTC fell to lows of $56k in early May before spiking above $71k, only to face rejections above this level in late May and early June. On Friday, Bitcoin’s price, along with Ethereum’s, slumped more than 3% to below $64k and under $3,500, respectively.

Currently, BTC is priced around $63,700, while ETH trades near $3,503. Over the past 30 days, Bitcoin has decreased by 8%, and Ethereum has declined by 6%. These performances come amid a confluence of downside catalysts. With sentiment leaning bearish, IntoTheBlock analysts identify the $61.9k to $63.8k range as a potential key support area.

Bitcoin’s trend continues to lean bearish, currently hovering just above a critical demand zone. Keep an eye on the 61.9k to 63.8k range for potential support.

BTC Sell-Off Pressure: What’s the Catalyst?

As spot Bitcoin ETFs see net outflows, miners have continued to sell post-halving. On-chain data reveals that miners have sold more than 30,000 BTC in June. Bitcoin analyst Willy Woo commented that miner capitulation will likely remain a key downside factor for BTC in the short term.

When does Bitcoin recover? It’s when weak miners die and hash rate recovers.

According to Woo, miner capitulation is taking longer than historically seen over the past two post-halving periods, likely due to ordinal inscriptions that have boosted miner profits.

This week has seen increased sell-off pressure amid a potential dump by the German government. Earlier this year, German police confiscated 50k BTC worth $2.1 billion from a pirated film site, “Movie2K”. Bitcoin’s price surge pushed the value of the coins to over $3 billion.

This BTC address linked to the seizure has moved over $110 million worth of Bitcoin to exchanges, including Kraken and Bitstamp.

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