Bitcoin (BTC) is currently executing what technical analysis models define as a classic <b>"mid-cycle pullback,"</b> a crucial and often volatile corrective phase within an extended bull run. This price consolidation is being driven by two primary forces: the necessary profit-taking of seasoned <b>Long-Term Holders (LTHs)</b> and a simultaneous, relentless influx of demand from institutional channels, particularly <b>Spot Bitcoin Exchange-Traded Funds (ETFs)</b>. This dynamic suggests that while the short-term trajectory is corrective, the ultimate high-end target for the cycle remains robustly intact.
<h2>LTH Selling Meets ETF Demand</h2>
[embed]https://twitter.com/BitcoinMagPro/status/1986434909238390937[/embed]

Data suggests that LTHs, who accumulated BTC during the previous bear market, have initiated a substantial phase of profit distribution. This behavior is expected during a mid-cycle rally as older coins are moved to capitalize on high prices. Typically, this selling pressure would cause a more severe market crash.

However, the absorption of this supply by the continuous, large-scale demand generated by the recently approved <a href="https://www.cryptoknowmics.com/news/bitcoin-etfs-suffer-near-500-million-outflow-amid-market-plunge/">Bitcoin ETFs</a> is acting as a major stabilizing counterforce. Institutional capital flowing into these regulated products is effectively soaking up the selling volume from LTHs, preventing a catastrophic price collapse and establishing a robust demand floor beneath the market. This supply-demand tug-of-war forms the basis of the current price volatility and consolidation.
<h2>The $180,000 Target Remains Viable</h2>
Despite the turbulence, technical forecasts that project Bitcoin reaching the <b>$180,000</b> level within this cycle are not being discarded. The mid-cycle pullback, in fact, is often seen as a prerequisite for a healthy, sustained bull run, shaking out overleveraged traders and resetting technical indicators.

Once the LTH selling volume naturally exhausts and the consistent, systematic buying pressure from the ETFs and other institutional vehicles resumes dominance, the market is expected to enter its parabolic phase. The sustained reduction in the tradable supply of BTC, exacerbated by the ETFs securing large portions of the available float, sets the stage for a potential <b>supply shock</b>, making the ambitious $180K target achievable as long as institutional demand remains elevated.

Bitcoin Enters Mid-Cycle Pullback as Long-Term Holders Take Profit

Bitcoin is undergoing a classic mid-cycle pullback, but immense ETF demand and exhausted Long-Term Holder selling keep the $180K target viable.

Bitcoin Enters Mid-Cycle Pullback as Long-Term Holders Take Profit

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