Bitcoin has resumed its upward trajectory within the early hours of Monday, briefly surpassing the $106,000 mark earlier than encountering resistance and experiencing a minor pullback. As of the time of writing, Bitcoin is buying and selling at $104,153, representing a 1% decline over the previous 24 hours.
Regardless of this dip, the asset stays in a powerful place total, having posted important features over the previous a number of weeks and retaining proximity to its all-time excessive ranges. This worth motion follows a quick consolidation section late final week, throughout which Bitcoin paused after climbing above $104,000.
Amid this worth efficiency, CryptoQuant analyst Avocado Onchain not too long ago shared his interpretation of the development based mostly on derivatives and spot market information.
Market Purchase Quantity and Funding Charges Present a Shift in Rally Habits
In his latest evaluation, “Bitcoin’s Rebound With out Overheating Is a Clear Signal of a Wholesome Bull Market,” Avocado Onchain pointed to a shift in Bitcoin’s habits round key worth milestones.
In earlier breakout makes an attempt, he famous that Bitcoin’s surge to new all-time highs was usually accompanied by a pointy rise in Binance’s market purchase quantity and funding charges, each of which signaled overheated situations. These situations usually resulted in short-term corrections, as merchants locked in income and leverage unwound.
Nevertheless, the analyst noticed that the present rebound is unfolding otherwise. Funding charges on Binance stay secure, and market purchase quantity is trending downward, which Avocado interprets as an indication of restraint fairly than weak spot.
He argued that, not like the sharp speculative rallies seen in prior phases, the current atmosphere displays cautious optimism and sustained accumulation. In accordance with him, this extra tempered restoration might be much less weak to abrupt pullbacks and as a substitute assist a extra secure path to potential new highs.
📋 과열 없는 비트코인 반등, 건강한 강세장의 신호(Bitcoin’s Rebound With out Overheating Is a Clear Signal of a Wholesome Bull Market)
이번 시즌 비트코인 가격이 신고가를 갱신할 때마다 바이낸스 시장가 매수 거래량과 펀딩비는 크게 상승하였고, 그 후 과열로 인한 조정기간이 찾아오는 유사한… pic.twitter.com/c0JCPzgbfY
— Avocado (@avocado_onchain) Could 19, 2025
Bitcoin On-Chain Tendencies Level to Continued Accumulation
Avocado additional emphasised that though shopping for exercise will not be surging on the identical charge as in prior runs, the general development in market purchase quantity has been steadily rising since 2023. He referred to on-chain information that exhibits a constant uptrend, suggesting that longer-term investor urge for food stays intact.
With sentiment nonetheless recovering from latest corrections and derivatives markets showing much less overheated, he steered the market construction is favorable for extra upward momentum within the close to to mid-term.
Whereas the analyst didn’t make a particular prediction concerning when Bitcoin would possibly surpass its earlier document, he highlighted that the present market situations don’t resemble earlier overheated peaks. This, he famous, makes for a extra constructive setup and probably extra sturdy features if the development continues.
Featured picture created with DALL-E, Chart from TradingView
