Bitcoin had an exciting weekend filled with sharp volatility and historic price movements, leaving the market full of anticipation. The cryptocurrency rose above the $108,000 mark, hitting a new all-time high (ATH) of $109,350. However, the rally was met with resistance, and Bitcoin quickly fell to a low of $99,400 before recovering. The dramatic swings created a mix of optimism and uncertainty as the weekend wound down.
Analyst Axel Adler provided valuable insights into the current state of Bitcoin, focusing on the metric of net unrealized gain/loss (NUPL) among miners. According to CryptoQuant data, NUPL is currently at 0.5, a level that historically indicates room for further growth. This metric measures unrealized gains and losses in the market, and provides a glimpse into whether the top of the cycle is near or not. Adler’s analysis indicates that Bitcoin has not yet reached its peak, reinforcing the belief that the current session still has significant upside potential.
With Bitcoin trading near key levels, investors are closely monitoring its next moves. With NUPL data indicating room for growth and the market continuing to show strength, many believe the cryptocurrency could be on the verge of another major rally, pushing the boundaries of this bull cycle even further.
Bitcoin miners are staying strong
Bitcoin is entering the final phase of its 4-year cycle, the most historically prolific and explosive period in terms of price appreciation. This phase often sees massive rallies fueled by increased market activity and increased investor optimism. With the pro-crypto US administration led by President Donald Trump taking charge, market sentiment towards Bitcoin has turned significantly bullish. Many analysts believe that this favorable environment could push Bitcoin to unprecedented levels in the coming months.
Chief Analyst Axel Adler recently Shared master data from CryptoQuanthighlighting the current status of Bitcoin in the session. Adler highlighted the metric of net unrealized profit/loss (NUPL) among miners, which currently sits at 0.5.
This level indicates that miners and other market participants still have unrealized profits, leaving plenty of room for further growth. Historically, when NUPL rises above 0.75, the market begins to show signs of overheating, which often signals the end of a bull cycle.
For now, BTC remains well positioned to continue the uptrend as technical and fundamental indicators are in line. The combination of a supportive regulatory landscape, strong on-chain metrics, and bullish sentiment creates the perfect setup for a BTC boom in the final phase of this 4-year cycle.
As Bitcoin approaches critical levels, investors are closely monitoring its trajectory. If the NUPL measure continues to rise without breaching the 0.75 threshold, Bitcoin’s current rally could have plenty of room to grow, strengthening its role as a leading asset in the cryptocurrency market.
BTC Price Analysis: Strong demand push
Bitcoin (BTC) is currently trading at $103,700, maintaining strength above the critical $100,000 level despite a volatile start to the week. This level has proven to be key psychological and technical support, reinforcing bullish sentiment as BTC continues its attempt to build on recent gains. However, the market remains highly uncertain, and volatility appears to be an ongoing trend as traders navigate the current conditions.
For Bitcoin to confirm its upward trajectory, the bulls need to regain control and push the price above its previous all-time high (ATH). A decisive break above the $110,000 resistance level would signal renewed momentum, which could lead to another surge in price discovery. Such a move could attract new buying interest and push BTC towards its next targets in the ongoing bull cycle.
On the downside, a loss of the $100,000 support will likely change sentiment and lead to a period of extended consolidation. This may test investors’ patience and delay further rise as the market seeks stability.
With Bitcoin hovering near these pivotal levels, the coming days will be crucial in determining its next direction. Traders and investors are closely monitoring signs of strength or weakness as BTC goes through this crucial phase.
Featured image by Dall-E, chart from TradingView.
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