- BTC has won 4.67% in the last 24 hours, at the time of press.
- Bitcoin’s reached a temporary soil, with some buyers who came in after selling quickly.
In recent weeks, Bitcoin [BTC] has experienced extreme volatility. These market fluctuations have led discussions among analysts about Bitcoin’s process and its influence on the behavior of investors.
Glassnode analysts noted that elevated volatility enabled sellers to dominate the markets, which ultimately led to capitulation.
Bitcoin’s cost -based distribution suggests …
According to Glass nodeAbout 1/3 of the BTC collected at $ 96k $ 97.5K in February 2025 was redistributed as the BTC prices plummeted. This was the result of weaker hands that tried to reduce losses.
Source: Glassnode
However, some addresses of the $ 96k price bucket collected near the local soil of $ 83k, which forms a stair-step pattern.
Despite accumulation attempts ruled quickly, which indicates capitulation. Historically this precedes local soils, followed by price rebounds while investors buy the dip.
Buying activity came from different cohorts, but delivers between $ 93k and $ 83k remains thin. Most investors bought $ 84.2k (23k BTC) and $ 86.9k (25.8k BTC) price levels, mainly long -term investors.
Source: Glassnode
Usually, when investors turn to buy when prices fall, this creates the organic question that actively stimulates for a potential recovery. This trend removal has been observed in the past day, because the prices have recovered a highlight of $ 87k.
What BTC graphs say
While weak hands changed to sell while prices fell, others took this opportunity to accumulate themselves. This behavior is proven as the traders of the retail trade returned despite the market uncertainty.
Source: Checkonchain
In particular, new issue remained above 13k BTC, with crabs (1-10 BTC) that stood to 15k and fishing (10-100 BTC) at 5.5K.
This indicates that retail traders buy BTC at current market rates, show trust and stimulate a strong market demand.
Source: Cryptuquant
Ambcrypto observed Bitcoin’s exchange network flows that remain negative during a fleeting week, which indicates active accumulation by investors.
Increased exchange outflows reflect the rising market confidence, because participants see the dip as an opportunity to buy before the prices rise.
Source: Santiment
Because the holders of the retail trade have turned to buy, while large entities remain indifferent, Bitcoin is becoming scarce and scarce.
Scarcity is of vital importance for BTC recovery perspectives, as a low supply, while the demand of this cohort remains relatively high, will result in higher prices for BTC.
The road for BTC
Retail holders have seen positive change as the market dropped, but these speculative sellers respond to news and external factors.
Such behavior can increase the pressure on bitcoin. Sustainable profits require that sharks and whales start to accumulate.
If the current sentiments persist, the profit can push BTC to $ 90k in the short term, resulting in the observed cohort profit.
In the most bullish scenario, BTC could be confronted with resistance at $ 97.5K, where 151k BTC remained unmoved during volatility. If market fluctuations lead to the sale of retail, BTC can fall to $ 83k, where previously collected $ 96k bucket addresses.
