Short Term Holder Demand

Definition ∞ Short term holder demand refers to the buying pressure exerted by market participants who acquire digital assets with the intention of selling them relatively quickly. These holders are often reactive to immediate price movements and market sentiment, contributing to shorter-term volatility. Their collective activity can significantly influence daily or weekly price action. This group seeks rapid gains.
Context ∞ Crypto news analyses often track short term holder demand as an indicator of immediate market sentiment and potential price trends. Increases in this demand can signal speculative interest, while a decrease might suggest a lack of conviction among quick traders. Understanding this cohort’s behavior provides insight into the near-term dynamics of digital asset markets.