With bullish sentiment returning to the market, Bitcoin is once again showing upward momentum and could retest the $94,000 price level last seen in early December 2025. Despite the recent BTC price rebound, some Key indicators are decliningindicating that on-chain activity is trending in a different direction.
Cycle low Bitcoin VDD suggests minimal coin movement
bitcoin price is gradually recovering, but its on-chain actions are entering an unusually delicate stage. This divergence has been observed in the recent performance of the Bitcoin Value Destruction Days (VDD) indicator, which has declined sharply.
It is worth noting that BTC VDD is a way to measure long-term holder activity similar to BTC VDD. BTC Coin Destruction Days (CDD) Although it is an indicator, it includes an evaluation component. In other words, the value is assigned based on the number of holding days lost plus the price of Bitcoin at the time the UTXO was used.
In this case, VDD is expressed as a ratio that evaluates speed relative to the annual average. In addition, the annual average to monthly average ratio helps position current activity relative to the annual baseline.
After researching the BTC VDD indicator, market expert and author of CryptoQuant Darkfost said: noticed This metric appears to have fallen to historic lows this market cycle. Experts say this change came after a difficult situation. Distribution of long-term holders That has now decreased significantly.
As can be seen in the graph, the market is currently entering a period where VDD has declined sharply and is at very low levels compared to the annual average. This trend indicates that the selling pressure from the market has decreased significantly. Long-term BTC holder.
With a metric of 0.55, the current VDD is approximately twice the annual average. Such levels have been observed repeatedly after significant corrections in ongoing cycles. Interestingly, this suggests that long-term holders are currently choosing to hold the coin at its current price level.
BTC’s upward trend is still alive and well
Bitcoin prices experienced a brief pullback as it neared Tuesday’s close, which raises questions: its price stability. In the midst of this discussion, Mr. Milklord, a cryptocurrency and macro researcher, said: Insights provided We analyze the current price trend of BTC and highlight that the market remains bullish.
Milk Road’s target is based on a multi-year upward channel pattern. According to experts, BTC has been in an ascending channel since 2022, making higher highs and higher lows.
Although the recent decline pushed BTC price towards the bottom of the ascending channel, the support line held strong, leading to a rebound. Following the bounce, Bitcoin This line forms higher lows and maintains an uptrend. So, as long as BTC does not fall below that range, the larger pattern will still point towards the upside, despite the fact that the price has been flat for several months.
Featured image from Pixabay, chart from Tradingview.com
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