Bitcoin's chip concentration has surged, possibly brewing a new round of boom and bust!

Recently, Bitcoin has been oscillating around the $105,000 range, with overall market performance relatively mild. However, on-chain data reveals a concerning trend—chip concentration is rapidly rebounding.

Data shows that in just the past 10 days, Bitcoin's chip concentration has risen from a low of 5.3% to 10.6%, exhibiting a clear acceleration. If this trend continues, it is expected to breach the sensitive threshold of 15% in the next one to two weeks, which could trigger a structural adjustment in the market.

From past cases, when Bitcoin's chip concentration is too high, it often experiences significant price fluctuations. For example, in early May of this year, when prices were consolidating around $94,000, the concentration peaked at 15.5%, leading the market to choose a rally to redistribute chips. On February 21, when Bitcoin's concentration rose to 16.9% during a plateau around $96,000, it encountered a sharp decline.

These historical performances indicate that when chips are overly concentrated, the market typically reshuffles with strong volatility. Now, similar signals are re-emerging; although the current trend lacks a clear direction, once chip concentration breaks through key levels, the market may soon break the silence.