Bitcoin (BTC) faced another setback as it failed to reclaim the critical $100,000 level during the Christmas rally. The inability to hold this psychological threshold has dampened investor optimism, raising concerns about the cryptocurrency’s short-term performance.

Investor Sentiment Takes a Hit

Despite a promising attempt, BTC was unable to maintain momentum and has since dropped below $97,000. This decline not only underscores bearish sentiment but also highlights Bitcoin’s waning market dominance. Key metrics reflect growing investor uncertainty.

According to data from IntoTheBlock, the Addresses by Time Held indicator, which tracks short-term holders (30 to 365 days), shows a marked decrease in activity over the past week. As this group often mirrors market sentiment, their reduced involvement indicates heightened caution among traders.

Glassnode’s STH-NUPL (Short-Term Holder Net Unrealized Profit/Loss) metric further supports this outlook, falling into the “Hope and Fear” zone. This suggests that short-term holders are increasingly