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Analyst: A healthy pullback will allow the market to cool off from an overheated state, thereby sustaining the uptrend

By: theblockbeats.news|2025/07/25 16:22:13
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BlockBeats News, July 25th, CryptoQuant analyst Axel posted on social media, stating that the realized net profit/loss chart clearly shows that during price increase phases, there is a significant peak in profit-taking by investors. Before the price experiences a deep correction, we are likely to see one or two waves of profit-taking.

Each wave of profit-taking will be accompanied by a short-term pullback and consolidation, but as long as the peak of realized net profit does not exceed the previous peak or is of a comparable scale, the bull market trend will remain intact. Ideally, these healthy pullbacks will help cool down the market from an overbought state, thus sustaining the upward trend.

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