Bitcoin ($BTC) is buying and selling simply above $105,400 as of Might 21, gaining practically 3% within the final 24 hours.
The worth now presses towards a serious resistance zone at $106,600, a degree the place Glassnode identifies a major provide cluster of 31,000 BTC acquired in December. With these cash largely unmoved, the $106.6K area has turn into a technical and psychological hurdle for the market.
#BTC’s value surge stalled slightly below $106.6K – a degree with 31K $BTC held at that value foundation. This provide cluster originated on Dec 16 and stays unshaken. Holders haven’t redistributed, nor averaged down – making $106.6K an necessary degree to look at within the quick time period. pic.twitter.com/f7rXqtP6qD
— glassnode (@glassnode) Might 19, 2025
Regardless of latest volatility, these holders haven’t bought or averaged down, which signifies a short-term psychological and technical barrier.
John Deaton Tasks $125K as On-Chain Accumulation Builds
Deaton’s assertion resonates with the present chart dynamics: as soon as $109K–the all-time excessive–is damaged, there’s little historic resistance to impede a speedy transfer towards $120K-125K. He additional added:
“I’ve a sense as soon as $110K is damaged, $125K occurs a lot sooner than people assume.”
The on-chain accumulation and lack of redistribution round $106.6K make this breakout situation believable.
Associated: Cathie Wooden Has Mentioned That Bitcoin Will Hit $1.5 Million
Glassnode Information Reveals Broad-Based mostly Accumulation Forward of Might 21
On-chain knowledge reveals a sturdy accumulation pattern, spanning virtually the whole pockets spectrum.
Accumulation is now seen throughout practically the whole pockets spectrum. Even <1 $BTC holders have flipped from distribution to gentle accumulation (~0.55), becoming a member of bigger cohorts like 100–1K (~0.9) and 1K–10K #BTC (~0.85). Only one–10 #BTC stay web sellers. pic.twitter.com/C4C9ZLlwNs
— glassnode (@glassnode) Might 19, 2025
Even retail buyers holding lower than 1 BTC have shifted from distribution to gentle accumulation (~0.55 rating), becoming a member of the bigger cohorts reminiscent of: 100–1K BTC holders (~0.9) and 1K–10K BTC holders (~0.85).
Associated: Technique (MicroStrategy) Hit with Class Motion Lawsuit Over Its Bitcoin Plan
The one section nonetheless partaking in web promoting seems to be these holding 1–10 BTC. This behavioral shift in pockets dynamics strengthens the bullish thesis, because it signifies rising investor confidence throughout each institutional and retail lessons.
Technical Indicators Strengthen the Bullish Case for BTC
The technical outlook for Bitcoin helps the potential for a breakout. The Relative Energy Index (RSI) sits close to 71, which usually alerts an overbought market however can even point out persistent power in an ongoing rally.
The MACD confirms a bullish crossover, with each strains trending greater and no quick signal of bearish divergence.
Supply: TradingView
Fibonacci retracement evaluation from the $88,834 excessive to the $70,526 low exhibits BTC has cleared all main resistance ranges, together with the essential 0.786 retracement at $74,441.
Fibonacci extensions to the draw back have turn into irrelevant as Bitcoin maintains its upward trajectory. With accumulation, technical alerts, and analyst forecasts aligning, merchants are watching the $106.6K zone intently as a doable launchpad for the subsequent main rally.
Disclaimer: The knowledge offered on this article is for informational and academic functions solely. The article doesn’t represent monetary recommendation or recommendation of any form. Coin Version is just not liable for any losses incurred on account of the utilization of content material, merchandise, or companies talked about. Readers are suggested to train warning earlier than taking any motion associated to the corporate.
