Bitcoin quickly fell back to $113,000 after hitting a historic high of $124,000, and is currently in a fierce battle stage within a key technical support range. Technical indicators show a weak short-term trend, with prices facing some pressure, but on-chain data indicates that large funds and institutions are taking the opportunity to buy low, resulting in significant market divergence.

From a technical perspective, Bitcoin is indeed in a sensitive position. The RSI has moved out of the overbought zone, and short-term moving averages are starting to decline, reflecting a demand for market adjustment. However, trading volume has significantly increased near the key support level, indicating that there is active capital being absorbed, which may provide some support to stabilize the current price level.

On-chain data provides deeper signals: the number of whale addresses holding over 1,000 bitcoins has not decreased but rather increased, indicating that large holders still have confidence in the future market and continue to accumulate during the pullback. At the same time, Bitcoin ETFs are continuously seeing net inflow of institutional funds, reflecting the willingness of professional investors to position themselves during the decline.

From a market structure perspective, this round of pullback helps to digest the profits brought by the previous rapid rise, solidifying a healthier foundation for prices. If the $113,000 support holds, market sentiment is expected to gradually stabilize and rebuild upward momentum; however, if it fails, there may be further declines to the $108,000 range.

It is recommended that market participants closely monitor technical trends, large on-chain holding changes, and the flow of institutional product funds, rationally control their positions, and flexibly respond to volatility.