Bitcoin [BTC] has regained the $80,000 level for the first time since January 31 as whale accumulation accelerated, absorbing 4,527 BTC worth about $362 million within 24 hours. This increase reflected the strong conviction of large farmers who were withdrawing supply from circulation rather than distributing it.
As a result, available liquidity on the exchanges appeared limited, reinforcing the tighter supply environment Bitcoin. Furthermore, the continued accumulation of whales often meant early positioning ahead of broader market expansion. This behavior suggested that major players expected higher valuations despite recent volatility.
While retail demand remained uneven, the scale of this absorption created a structural foundation that could support continued upside potential if demand conditions strengthen further.
Why did the inflow increase despite the outflow?
Spot Netflow data showed inflows of $98.05 million on May 5, introducing a new supply of currency even as the broader trend leaned toward outflows. This contrast revealed a short-term shift in positioning, with some holders moving coins to exchanges while others continued to withdraw.
As a result, local selling pressure emerged, despite the underlying accumulation story. Moreover, such spikes in inflows were often in line with profit-taking or tactical repositioning rather than sustainable distribution.
Therefore, the market reflected a mixed but transitional structure, with supply temporarily floating on exchanges while longer-term holders reduced exposure to selling platforms. These dynamics suggested that the underlying strength remained intact despite short-lived fluctuations in currency balances.
Bitcoin demands $80,000 back and tests major barrier
Bitcoin recovered from the $65,000 demand zone and broke out of the descending channel before reaching the $80,000 level for the first time since January 31. This move marked a clear structural shift, as the price moved from a compression phase to expansion.
Price then approached the $78,839-$80,000 region, which aligned with a previous resistance zone formed after the collapse. Moreover, the formation of higher lows strengthened copper control after the breakout.
If this breakout were to remain above the regained level, Bitcoin could extend towards the resistance at $84,982. However, the inability to hold above $80,000 would likely lead to a pullback toward consolidation as the market would test the strength of this structural shift.
At the time of writing, the RSI was climbing towards 67, reflecting increasing bullish pressure as the price rose back above $80,000. This increase showed that buyer participation increased without entering overbought territory, which usually signals exhaustion.
Furthermore, the RSI position below 70 suggested that the rally still had room to extend if demand persists.
Bitcoin NVT drops sharply as valuation resets
At the time of writing, the NVT ratio fell 35.54% to 22.2, indicating that Bitcoin’s valuation was adjusting relative to transaction activity. This decline suggested that the price had become more in line with actual network usage rather than speculative excesses.
Furthermore, lower NVT levels often reflected healthier conditions in which growth built on stronger fundamentals. This shift reduced concerns about overvaluation and supported a more sustainable recovery structure.
However, the decline also indicated that the market had undergone a reset phase, which typically preceded stabilization rather than immediate expansion. If transaction activity continues to improve, this adjusted NVT structure could strengthen the foundation for further upside.
In short, Bitcoin regained $80,000 as whale accumulation strengthened and on-chain metrics improved. However, resistance between $80,000 and $84.9,000 remained critical. If accumulation continued to absorb supply, the price could rise.
Otherwise, short-term inflows and resistance pressures would likely consolidate Bitcoin before a clearer breakout direction emerges.
Final summary
- Bitcoin has recovered $80,000 as whale accumulation reduced supply and supported the recovery structure.
- The mixed net flows showed short-term selling pressure, but the broader trend was still towards outflows.