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Bitcoin Deep Discount: 95% of Short-Term Holders Underwater

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Bitcoin has entered a deep discount phase, with over 95% of short-term holders now underwater, according to Glassnode's latest On-chain report. Realized losses are approaching levels typically associated with severe capitulation, signaling intense selling pressure. The report highlights that a durable recovery for Bitcoin is contingent on macro factors: either the dollar index (DXY) breaking below 99 or a compression in the 10-year Treasury yield. Until these conditions materialize, the $60,000 support level remains precarious, effectively a bet on dollar weakness or yield compression. Investors should monitor these indicators closely as they will likely dictate Bitcoin's near-term trajectory. The current environment suggests heightened risk of further downside unless macro headwinds subside.

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