Bitcoin Briefly Exceeds $106,000 Before Minor Pullback in Trading
Bitcoin has resumed its upward movement, briefly exceeding $106,000 before retreating to $104,153, marking a 1% decline in the last 24 hours. Despite this dip, Bitcoin remains close to its all-time highs and has shown significant gains in recent weeks after a consolidation phase.
Market Buy Volume and Funding Rates
- CryptoQuant analyst Avocado Onchain analyzed market behavior based on derivatives and spot market data.
- Previous surges to new highs were often accompanied by sharp increases in Binance’s market buy volume and funding rates, indicating overheated conditions and leading to corrections.
- The current rebound shows stable funding rates on Binance and declining market buy volume, suggesting cautious optimism rather than weakness.
- This restrained recovery may support a more stable path toward potential new highs.
On-Chain Trends Indicate Accumulation
- Buying activity is not surging as before, but market buy volume has gradually increased since 2023.
- On-chain data reflects a consistent uptrend, showing sustained interest from long-term investors.
- The sentiment is recovering from recent corrections, with derivatives markets appearing less overheated.
- Current market conditions differ from previous overheated peaks, potentially allowing for durable gains if trends continue.
