Bitcoin Price Analysis: A Shift Towards Balance and Growth
Following a sharp correction from its all-time high on Tuesday, Bitcoin (BTC) has stabilized above $120,000, indicating a move towards a more balanced state in both spot and derivatives markets. This shift provides a stronger foundation for the next uptrend, as buyers regain confidence. The recovery in Bitcoin’s net taker volume from extremely bearish to neutral levels, as reported by CryptoQuant, signifies a real shift in dominance between buying and selling pressure.
This trend is further supported by on-chain and market data, which suggests controlled profit-taking rather than panic selling. A similar transition occurred during Bitcoin’s correction in April, which later paved the way for a renewed uptrend of 51% in 13 weeks. However, analysts warn that an abrupt move into strong positive territory could indicate an overheated market if buying pressure increases too quickly.
Buying Momentum and Market Sentiment
According to Alphractal CEO Joao Wedson, the buying/selling pressure delta remains significantly positive, emphasizing the importance of disciplined buying when sentiment appears weakest. “Metrics like these can take you to a whole new level and significantly increase your decision-making accuracy,” Wedson said. This approach has consistently paid off in recent months, highlighting the value of informed decision-making in cryptocurrency markets.
Swissblock Analytics noted that while there was some short-term profit-taking following Bitcoin’s all-time high of $126,000, it remained “controlled and not driven by panic.” The analytics platform highlighted that holding above $120,000 to $121,000 would confirm a “healthy cooling phase,” setting the stage for renewed demand and the next rise.
Strongest Increase in Purchases Since July
Binance data shows Bitcoin’s strongest buying momentum since July, with net buying pressure (vol_delta) exceeding $500 million on several days. The imbalance ratio (imbalance_pct) reached 0.23, indicating that buy orders were around 23% higher than sell orders, while the Z-score rose to 0.79, reflecting above-average daily buying activity.
These numbers signal a resurgence in institutional and whale participation, with daily trading volume reaching its highest level since July. This suggests that Bitcoin’s rise is based on real liquidity rather than fleeting speculation. Although there has been a slight decline in volume delta in some recent sessions, broader indicators such as steady volatility and continued accumulation among middle-market investors suggest robust market confidence.
This behavior contrasts sharply with weakness in September and reinforces the view that a decline towards the $120,000 region could likely serve as an opportunity for strategic accumulation rather than the start of a deeper trend reversal. For more information and the latest updates on Bitcoin and cryptocurrency markets, visit https://cointelegraph.com/news/bitcoin-rebounds-toward-range-high-as-data-highlights-real-liquidity?utm_source=rss_feed&utm_medium=rss_category_market-analysis&utm_campaign=rss_partner_inbound
