bitcoin had an exciting weekend filled with strong volatility and historic price movements, leaving the market abuzz with anticipation. The cryptocurrency surpassed the $108,000 mark, reaching a new all-time high (ATH) of $109,350. However, the rally met resistance and bitcoin quickly retreated to a low of $99,400 before recovering. The dramatic changes created a mix of optimism and uncertainty at the end of the weekend.
Analyst Axel Adler provided valuable insight into the current state of bitcoin, focusing on the net unrealized gains/losses (NUPL) metric among miners. According to data from CryptoQuant, 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, offering an idea of whether the peak of the cycle is approaching. Adler's analysis suggests that bitcoin has not yet peaked, reinforcing the belief that the current cycle still has significant upside potential.
As bitcoin trades 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, further pushing the boundaries of this bull cycle.
bitcoin Miners Stay Strong
bitcoin is entering the final phase of its 4-year cycle, historically the most prolific and explosive period in terms of price appreciation. This phase often sees massive rallies driven by increased market activity and growing investor optimism. With a pro-crypto US administration led by President Donald Trump taking over, market sentiment towards bitcoin has turned overwhelmingly bullish. Many analysts believe that this favorable environment could push btc to unprecedented levels in the coming months.
Top analyst Axel Adler recently <a target="_blank" href="https://x.com/AxelAdlerJr/status/1881641625866453197″ target=”_blank” rel=”noopener nofollow”>CryptoQuant shared key datashedding light on bitcoin's current position in the cycle. Adler highlighted the net unrealized profit/loss (NUPL) metric among miners, which currently stands at 0.5.
This level suggests that miners and other market participants still have unrealized profits, leaving significant room for further growth. Historically, when NUPL rises above 0.75, the market begins to show signs of overheating, often signaling the conclusion of the bull cycle.
For now, btc remains well positioned to continue rising as technical and fundamental indicators align. The combination of a favorable regulatory landscape, strong on-chain metrics, and bullish sentiment creates an ideal setup for btc to thrive in the final phase of this 4-year cycle.
As bitcoin approaches critical levels, investors are closely monitoring its trajectory. If the NUPL metric continues to rise without breaking the 0.75 threshold, bitcoin's current rally could have substantial room to grow, reinforcing its role as a leading asset in the cryptocurrency market.
btc price analysis: strong demand pressure
bitcoin (btc) is currently trading at $103,700, holding strong above the critical $100,000 mark 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 very uncertain and volatility appears to be a constant trend as traders navigate the current conditions.
For bitcoin to confirm its bullish trajectory, bulls must 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 trigger another advance towards price discovery. Such a move could attract fresh buying interest and propel btc towards its next targets in the ongoing bull cycle.
On the downside, losing the $100,000 support would likely change sentiment and lead to a period of prolonged consolidation. This could test investors' patience and delay further rallies as the market seeks to stabilize.
As bitcoin approaches these fundamental levels, the next few days will be critical in determining its next direction. Traders and investors are watching for signs of strength or weakness as btc goes through this crucial phase.
Featured image of Dall-E, TradingView chart.
