Bitcoin (BTC) Remains Under Pressure, Dropping Below $85000

Bitcoin remains under pressure, with its price dropping below $85,000. At the time of writing, Bitcoin is valued at $84,397, representing a 2.4%

Bitcoin (BTC) price is still hovering in the red despite a slight recovery attempt in the early Asian hours on Thursday. The flagship cryptocurrency remains under pressure as its price dropped below the $85,000 level.

At the time of writing, Bitcoin is trading at $84,397, showing a 2.4% decrease in the past 24 hours and a 13.7% drop over the past week.

These market conditions have sparked a range of analyses, with various on-chain indicators offering insights into current investor behavior.

Bitcoin Latest CDD Spike Could Signal A Market Shift

One of the key indicators highlighted recently by a CryptoQuant analyst, known as Banker, is the Coin Days Destroyed (CDD) metric.

According to Banker, the Coin Days Destroyed (CDD) metric, which measures economic activity weighted by the age of coins being moved, has seen a substantial surge.

The 60-day CDD indicator, which aggregates these destroyed coin days over two months, indicates that coins held for extended periods are now being spent at a much higher rate.

This trend, observed from November 2024 to February 2025, suggests that long-term holders are increasingly active in the market, potentially signaling a pivotal moment for Bitcoin.

Banker explains that elevated CDD values often correlate with significant market events. In this case, the sustained uptick in long-term holder activity may hint at profit-taking, asset reallocation, or anticipation of heightened market volatility.

“It’s worth noting that while long-term holders typically move coins during periods of major price shifts, the current trend showcases the strongest CDD signal since 2021. Historically, such patterns have preceded market turning points, making this metric a critical one to watch.”

Why CDD Matters

It's important to note that CDD differs from transaction volume as it gives more weight to coins that have remained unspent for longer periods. Each unspent day accumulates “coin days,” and when the holder finally moves those coins, these days are “destroyed.”

The 60-day CDD essentially tracks long-term holder sentiment by highlighting when these seasoned participants decide to act.

As mentioned earlier, a consistent increase in CDD usually indicates that long-term holders are becoming more active, either taking profits or shifting their assets, which in turn can influence broader market sentiment.

Banker further suggests that this uptick could signal more than just a Bitcoin price correction.

With long-term holders moving their coins at a steady pace, the market could be heading toward a “healthier reset.” This kind of activity often sets the stage for new entrants to step in, potentially stabilizing the market and creating opportunities for fresh capital inflows. However, the implications depend heavily on the broader market context, including macroeconomic factors and investor confidence.