Recent sell-offs by Bitcoin holders amount to a staggering $66 Billion in profit-taking, yet the demand for the cryptocurrency seems to be maintaining its stability.
Bitcoin's taking another spin at a defining moment, soaring above the $105k mark once more. Over the weekend, the US military's strike on Iran's nuclear facilities sparked chaos in global markets, causing extreme volatility for Bitcoin. However, yesterday's peace declaration between Israel and Iran offered relief, boosting Bitcoin's price significantly.
But what does the on-chain data suggest about the current market dynamic? Since mid-April, the Realized Cap of the 0-1 month age cohort has skyrocketed by an impressive $66 billion [3]. This increase suggests significant profit-taking activity by short-term holders who jumped on the bandwagon during the rally. The question is, though, can Bitcoin maintain its momentum?
As Bitcoin faced intense volatility, plummeting to $98k before bouncing back, questions about a potential double top formation have arisen, causing concerns among market participants [2]. Yet, on-chain data reveals a resilient market structure with no major warning signs of an imminent collapse.
With sellers moving out roughly 720,000 BTC this period, Bitcoin has managed to hold within a narrow range, indicating strong demand capable of absorbing recent profits [2]. The focus now shifts to whether bulls can build on this momentum to push Bitcoin beyond $109k and challenge its all-time highs.
Despite Bitcoin's recent consolidation [3], its long-term outlook remains positive thanks to institutional interest at elevated levels, coupled with a strong psychological floor above $100k [3]. The broader market is keeping a close eye on Bitcoin to see if it can sustain its momentum and move forward.
BitStarz player recently stunned the world with a record-breaking win of $2,459,124 [1]. Could you be the next big winner? Let's dive deeper into Bitcoin's current market situation.
Following its bounce from $98k, Bitcoin is now hovering around $105,300 [2]. The surge in buying momentum propelled BTC above the key $103,600 support-turned-resistance level and formed a higher low [2]. However, it currently faces resistance between $105,500 and $106,000 where the 200-period moving average meets a previous horizontal resistance zone [2].
If BTC manages to break above this range, it could aim for the next resistance at $109,300 [2]. Until confirmed, the market structure remains neutral to slightly bullish [2]. Technically, Bitcoin faces a critical resistance zone between approximately $109,800 and $112,000 [5]. If Bitcoin successfully breaks beyond this range, a push toward $113,500 by early July is plausible, potentially paving the way for a retest of the all-time highs [5].
However, should Bitcoin fail to hold support above around $99,000, a retest of lower levels near $94,000–$96,000 might occur, aligning with the 200-day moving average, signaling a temporary cooling-off before another surge [5].
In conclusion, Bitcoin's current consolidation above $105,000 is seen as a healthy pause after reaching all-time highs. On-chain and market data suggest strong institutional interest and technical readiness for a potential breakout above $109,000 [3][4][5]. Such a move could trigger a retest of or move beyond the $112,000 high, contingent on ETF activity, macroeconomic factors, and sustained buying pressure [3][4][5].
[1] BitStarz Player Lands $2,459,124 Record Win[2] Bitcoin Consolidates As Market Absorbs Profit-Taking Pressure[3] On-Chain Data Shows Bitcoin LTH Holding Firm Despite $98K Dip - Details[4] Bitcoin Taker Sell Volume Surges On Price Breakdown - Market Shows Signs Of Oversold Bounce[5] Bitcoin Dominance Breaks Previous High As MidEast Conflict Escalates - Altcoins Under Pressure
Investors may consider diversifying their portfolio to include altcoins given the current momentum in the Bitcoin market. Despite the strong psychological floor above $100k, the question remains whether Bitcoin can maintain this level and push beyond $109k, challenging its all-time highs.
The recent consolidation above $105,000 is seen as a healthy pause in the market, and on-chain data suggests strong institutional interest and technical readiness for a potential breakout above $109,000, which could have a significant impact on altcoins.
