The price of Bitcoin [BTC] has slowly but steadily risen over the past week since it surged from $87,000 to $94,000 last Tuesday. This slow upward trend is a positive sign, reflecting stable market demand. Traders and short-term holders have not panicked to collectively take profits, thereby suppressing the upward momentum.
This may stem from strong conviction. Arizona in the United States has slightly pushed a Senate bill that paves the way for establishing a Bitcoin strategic reserve. Selling pressure from miners is also at its lowest level since May 2024.
The rise of Bitcoin may continue for a while.
Analyst Darkfost pointed out in an article on CryptoQuant Insights that the supply of profitable BTC has been rising recently, which could be good news. A profitable supply exceeding 90% typically marks a stage where the market enters a thriving phase, and historically, Bitcoin often experiences significant pullbacks during this period.
However, these pullbacks will not occur immediately. The increase in profit supply suggests confidence in the market for BTC and may drive its next bullish phase.
Net flow data from exchanges further confirms this view. The 30-day moving average of this indicator has been on a downward trend over the past week and is in negative territory in April. This suggests that BTC is flowing out of exchanges and may be entering cold wallets.
In April, the 7-day moving average dropped significantly, indicating a price pullback accompanied by a large amount of holding. If the market lacks confidence in Bitcoin, the recent rise should be accompanied by a surge of BTC flowing into exchanges as holders prepare to take profits.
Finally, as of the time of writing, the 30-day MVRV ratio has reached its highest level since last December and January, raising concerns about selling pressure from profit-taking. However, the long-term MVRV has just turned positive. The MVRV values for 180 days and 365 days are far below the levels seen in November and December.
Therefore, the indicators show that as BTC enters a new bullish phase, its accumulation speed is rapid. According to MVRV, long-term holders have not yet reached significant profit levels. This round of rebound still has room for further increases. Liquidation heatmap data shows that $101,000 and $106,000 will be the next price targets.
