Bitcoin Delta Cap and Coinbase Premium Gap Indicate Strong Market Resilience

Bitcoin (BTC) experienced over a 5% decline in the past two weeks, raising concerns among investors. However, two on-chain indicators suggest a resilient market structure.

Key Indicators of Bitcoin's Resilience

Bitcoin's Delta Cap measures long-term valuation through the difference between Realized Cap and Average Cap. Currently, it hovers around $739.4 billion.
The recent price movements indicate that despite trading below this level, a quick rise to $120,000 could restore it above the Delta Cap line.
The Coinbase Premium Gap is at +11.6, indicating strong demand from US institutions, as BTC trades at a premium on Coinbase compared to global exchanges.
Sustained positive premiums historically lead to bullish phases driven by institutional accumulation.

Potential Risks Ahead

A drop below $105,000 could trigger a decline to $90,000.
If BTC fails to maintain support at $108,600, it may further test levels down to $100,000.
Despite these risks, rising illiquid supply on Binance could contribute to reaching new all-time highs.

Current BTC price stands at $109,289, reflecting a 0.9% increase in the last 24 hours.