Bitcoin has surged past the $95,000 mark, reinforcing its bullish momentum. Currently trading at $95,224, Bitcoin has gained a notable 7% over the past two weeks—highlighting renewed investor confidence and a strengthening upward trend in the market.
With volatility being a hallmark of cryptocurrency markets, timing the market remains one of the most challenging aspects for investors. However, on-chain analytics are offering powerful insights into potential entry points, helping traders and long-term holders make data-driven decisions. Platforms like CryptoQuant analyze real-time blockchain data to uncover behavioral patterns, accumulation zones, and market sentiment—providing a clearer picture of where Bitcoin might be headed next.
👉 Discover how on-chain data can help you time your next crypto move with confidence.
Understanding On-Chain Indicators for Strategic Entry
On-chain analysis involves examining data recorded directly on the Bitcoin blockchain—such as transaction volumes, wallet activities, and holder behaviors—to predict future price movements. Unlike traditional technical analysis that relies on price charts and indicators, on-chain metrics reflect actual economic activity within the network.
One of the most telling metrics is price correction behavior during bull markets. Historically, strong bull runs are rarely linear. Instead, they include significant pullbacks that test market resilience and investor commitment.
- In 2017, Bitcoin experienced a 22% correction during its rally.
- The 2021 bull run saw multiple drawdowns between 10% and 30%.
- In 2024, Bitcoin underwent corrections of approximately 15% and 20%, both of which were followed by renewed upward momentum.
These patterns suggest that temporary dips are not signs of weakness but rather healthy consolidations—often creating ideal buying opportunities for those who understand market cycles.
Short-Term Holder (STH) Realized Price: A Key Support Indicator
A crucial metric highlighted by CryptoQuant is the Short-Term Holder (STH) Realized Price, which represents the average cost basis of investors who have held Bitcoin for less than 155 days. This level often acts as a dynamic support zone because short-term holders tend to sell when they break even or secure profits.
When Bitcoin’s price approaches the STH realized price, it frequently finds strong buying pressure, indicating accumulation by new investors or returning traders. Currently, this metric has held firm around key levels, suggesting that demand remains robust even during pullbacks.
Moreover, when short-term holders are no longer in collective loss (i.e., their average purchase price is below market value), selling pressure typically diminishes—freeing up momentum for further gains.
Uncovering Market Resets: The Role of Open Interest Flush
Another important phenomenon observed in recent cycles is the open interest flush, particularly in derivatives markets. During periods of high volatility, excessive leverage leads to cascading liquidations—wiping out speculative positions.
While these events cause sharp price drops, they also serve as market "resets." Once weak hands are shaken out and speculative excess is removed, the path often clears for more sustainable growth driven by genuine demand rather than leveraged bets.
For strategic investors, these flushes can signal optimal entry points—especially when combined with other confirming indicators like rising exchange inflows from long-term holders or declining sell pressure.
Net Exchange Inflow: Gauging Selling Pressure
The net exchange inflow metric measures the difference between Bitcoin being sent to exchanges (potential selling intent) versus withdrawn from them (likely long-term holding or cold storage).
A net inflow below -$30 million often indicates that large volumes are leaving exchanges—a sign that investors are taking control of their assets and not preparing to sell. Conversely, sustained outflows suggest accumulation and reduced circulating supply on trading platforms.
Recent data shows a significant decline in net inflows, implying that sellers may be exhausted. When sell-side liquidity dries up, even modest buying pressure can trigger substantial price increases—a classic supply squeeze scenario.
👉 Learn how exchange flows can signal major price movements before they happen.
Critical Support Zone: Why $93,580 Matters
According to crypto analyst Ali, the $93,580 price zone holds exceptional significance. Approximately 667,000 Bitcoin addresses accumulated nearly 504,000 BTC in this range. This creates a dense layer of psychological and financial support.
If Bitcoin maintains this level during corrections, it signals strong holder conviction. A breakdown below this zone could trigger panic selling; however, as long as it holds, it reinforces the bullish narrative and increases the likelihood of continued upward movement.
This kind of on-chain clustering is common before major breakouts. When large cohorts of investors are sitting on unrealized gains just above their entry points, they become reluctant to sell—fueling momentum once prices push higher.
Frequently Asked Questions (FAQ)
Q: What does it mean when Bitcoin breaks $95,000?
A: Breaking $95,000 signals strong bullish momentum and renewed institutional and retail interest. It often precedes further gains if supported by healthy on-chain activity and low exchange supply.
Q: Are corrections normal in a Bitcoin bull market?
A: Yes. Historically, every major bull run includes 10–30% pullbacks. These corrections help eliminate weak hands and reset leverage, setting the stage for stronger upward moves.
Q: How reliable is on-chain data for predicting price?
A: On-chain data provides high-signal insights into actual network behavior—not just speculation. While not foolproof, metrics like STH realized price and exchange flows have consistently preceded major turning points.
Q: Should I buy during a market dip?
A: Dips following strong fundamentals—such as low sell pressure and accumulation by long-term holders—can be excellent entry points. Always assess broader on-chain context before investing.
Q: What happens after an open interest flush?
A: After a flush removes leveraged positions, volatility usually decreases and directional trends become clearer. This often leads to steady rallies driven by real demand rather than speculative trading.
Q: How can I track these indicators myself?
A: Tools like CryptoQuant, Glassnode, and LookIntoBitcoin offer access to real-time on-chain dashboards. Many provide free tiers with essential metrics for retail investors.
👉 Access advanced on-chain analytics tools to stay ahead of market shifts.
Conclusion: Data-Driven Decisions in a Maturing Market
As Bitcoin continues its ascent, reliance on emotion-based trading is giving way to analytical rigor. On-chain data empowers investors to see beyond price charts and understand the underlying dynamics shaping market direction.
From identifying strategic support levels like the $93,580 accumulation zone to interpreting net exchange flows and short-term holder behavior, these tools offer a roadmap for navigating uncertainty.
While no single indicator guarantees success, combining multiple high-conviction signals—such as reduced selling pressure, post-liquidation stability, and strong holder accumulation—can significantly improve timing and confidence in investment decisions.
For those wondering whether now is the time to buy Bitcoin, the answer lies not in hype—but in data. And right now, the data suggests that patient, informed investors still have opportunities to position themselves ahead of the next leg up.
Core Keywords: Bitcoin buy signal, on-chain analysis, Bitcoin price prediction 2025, short-term holder realized price, net exchange inflow, open interest flush, Bitcoin support levels, CryptoQuant insights