Bitcoin short-term holders lock in earnings: Data shows bull trends remain intact

Bitcoin is approaching a critical moment as it consolidates the mark below $110,000 while flirting with the possibility of a breakthrough. After weeks of steady upward momentum, BTC is now facing a key resistance zone that can determine the next stage of its bull week. Despite growing macroeconomic uncertainty and global tensions, from trade conflicts to expectations of transfer rates, Bitcoin appears to be thriving in this environment. As traditional markets show signs of pressure, demand for hard digital assets such as BTC continues to rise.

The data on the chain further supports the idea of ​​keeping investor confidence intact. According to new insights from CryptoQuant, the STH SOPR (output margin for expenditure) 30-day moving average (a measure that tracks the average profit or loss achieved by short-term holders, only recently reached local highs. This indicates a significant increase in realized profits for buyers recently, which is usually a sign of strength in an uptrend.

Crucially, this conscious profit has not yet reached the euphoric extreme seen during peaks in major markets. This suggests that current profits are healthy and have not yet undermined the broader bullish structure. With momentum building, Bitcoin may be preparing for the next big move.

Bitcoin flirting follows as global market dynamics change

Bitcoin once again tested key resistance below $110,000, hovering within the tight merger range as it could potentially see impulsive breakthroughs. The price structure remains bullish across multiple schedules, but everyone’s attention is focused on whether BTC can generate enough momentum to break through and recover price discovery.

Meanwhile, global tensions are escalating, adding new variables to the already volatile macro landscape. Recently, the federal court’s decision to lower tariffs on US President Trump on several countries shocked market expectations and introduced a new wave of uncertainty in the global trade and stock markets. Despite the impacts digested by traditional assets, Bitcoin and other major cryptocurrencies are quietly staying under these stricter economic conditions (if not thriving). Both BTC and ETH maintain strong price floors, indicating that investors’ interest in digital assets continues to be expressed as macro fences.

On-chain data further supports this resilience. According to analyst Axel Adler, STH SOPR (30DMA) (which tracks the average profit or loss achieved by short-term holders) has recently encountered local highs. This means that short-term investors are locking in obvious profits. However, this measure has not yet reached the overheating, euphoric level that is usually close to the top of the cycle. Despite the increased earnings realized, demand for Bitcoin remains strong, suggesting that the bull trend is still intact.

This healthy profit margin behavior, combined with a strong holding model, depicts a picture of a market that is fueling, rather than cooling down. If resistance gives way, BTC may see a strong continuation, potentially delaying along with the wider cryptocurrency market.

BTC consolidation below critical resistance

Bitcoin is currently trading at $108,495 on the 4-hour chart, continuing to consolidate resistance levels below $109,300. The region has repeatedly rejected price improvements in the past few meetings, creating a short-term cap for the bulls that has not yet broken. Despite its resistance, BTC is still on a strong uptrend and supported by a series of higher lows and ongoing buying pressure on key moving averages.

34 EMA ($108,513) now acts as dynamic support, while 50 and 100 SMA ($109,024 and $106,516, respectively) help to include previous callbacks. The successful retraction of $109,300 resistance could trigger impulsive action to move towards the previous high price of $112K.

The quantity remains relatively stable, with prices above the wider support bands ranging from $106,000 to $103,600. The area has become the launch pad for the recent rally, and the bullish structure remains intact as long as BTC remains above it.

Featured images from DALL-E, charts from TradingView

Editing process For Bitcoin experts, focus on thorough research, accurate and impartial content. We adhere to strict procurement standards and each page is diligently evaluated by our top technical experts and experienced editorial team. This process ensures the integrity, relevance and value of our content to our readers.