Bitcoin is once again at a critical crossroad. After failing to hold above $120,000, BTC now trades around $118,612, down 4.1% from its recent record high of $124,000.
The market is closely watching this consolidation phase โ will it fuel a fresh uptrend or extend the slump?
๐ On-Chain Signals
Recent blockchain data highlights a surge in BTC inflows to Binance, the worldโs largest Bitcoin exchange by trading volume. According to CryptoQuant, Binance has seen one of the 7 biggest average BTC inflows in recent months โ a signal that could shift market dynamics.
โก Why This Matters
Higher inflows usually mean more supply on exchanges
This often points to potential selling pressure
It may also reflect leveraged plays or institutional portfolio adjustments
๐ Market Impact
If these inflows lead to heavy selling, Bitcoin could see another leg down. But if itโs institutional reshuffling or positioning for leverage, turbulence could be short-lived โ potentially paving the way for a stronger rebound.
๐ Takeaway
The spike in exchange inflows adds uncertainty, but also creates opportunity. Traders should watch $118K support and $120K resistance closely โ whichever level breaks next could decide BTCโs short-term direction.
