Bitcoin is currently facing a challenging resistance level of $115,892, following two unsuccessful attempts to break through in recent sessions. This stagnation in price movement suggests a possible consolidation phase is underway, despite indicators pointing to increasing bullish momentum.
Recent readings from the BTC/USD one-day chart depict Bitcoin’s struggle to achieve a decisive close above the critical resistance of $115,892 over the last two trading days. This resistance now serves as a barrier to upward movement. However, on-chain metrics indicate that market strength may still be developing beneath the surface.
Data from Glassnode reveals that the number of Bitcoin addresses holding a non-zero balance has reached a year-to-date high, currently standing at 54.37 million wallet addresses. This figure includes any Bitcoin address that possesses at least a fraction of Bitcoin, indicating active participation in the ecosystem. The increase in these non-zero balance wallets suggests heightened interest from both retail and institutional investors, which may lend support to a potential price surge in the near future.
Adding to the positive sentiment, information from CryptoQuant indicates that 93.6% of Bitcoin’s circulating supply is currently in profit. Historically, such a trend has preceded strong bullish movements in the asset’s price. Crypto Avails, a pseudonymous analyst from CryptoQuant, highlighted that the long-term average for this profitability measure is around 75%, indicating that the current figure is considerably above that baseline.
Avails expressed optimism regarding this trend, stating, “The market is clearly in bull mode. This might scare those thinking ‘everyone’s in profit, time to run,’ but I see it as a positive — it keeps the market’s excitement alive.”
Looking ahead, if Bitcoin manages to break above the $115,892 resistance level decisively, it could open the door for a rally toward $119,367. Should buying pressure strengthen in that region, further gains could propel Bitcoin to approximately $122,190. Conversely, if bearish sentiment gains momentum, Bitcoin may continue its sideways trend and risk a decline to around $111,961.
With a mixed short-term outlook juxtaposed against promising long-term on-chain data, the cryptocurrency market remains on alert for Bitcoin’s next move.
