Bitcoin price dips are expected to be less severe following a significant reduction in selling pressure, according to analysts at Bitfinex. Following a dramatic 10% drop from over $103,000 to under $93,000 shortly after hitting the $100,000 milestone, the realized profit metric has plummeted by 76% from a peak of $10.5 billion daily to about $2.5 billion. This reduction in realized profits indicates a cooling of profit-taking activity among traders. Currently, Bitcoin is trading around $97,483, with analysts noting that the market appears to be stabilizing, suggesting that future declines may be more contained. Despite these observations, Glassnode's lead analyst, James Check, expressed skepticism, citing significant sell-side pressure from existing holders that could overwhelm demand from institutional investors. Long-term holders have seen substantial gains, with the average purchase price at $24,481, indicating a 400% increase. Amidst these fluctuating dynamics, analysts warn traders to remain cautious as the market conditions shift.

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