Bitcoin Defies Gravity at $105K: Are Diamond-Handed Investors Fueling the Next Mega Rally?

Bitcoin isn''t just holding—it''s flexing. At $105K, the king of crypto laughs in the face of ''overbought'' warnings while Wall Street scrambles to explain its resilience. Here''s what''s really happening.

The HODLer Effect: Silent Accumulation Pays Off

Long-term holders now control a record 14.2M BTC—smart money stacking while retail traders chase memecoins. These veterans weathered every crash since 2018, and their patience might soon trigger a supply shock.

Institutions vs. Bitcoin Maxis: The Ultimate Showdown

BlackRock''s BTC ETF now holds more than MicroStrategy (gasp!), but true believers couldn''t care less. ''Paper BTC'' derivatives volume hit $50B daily this week—yet spot markets barely flinch. Someone''s betting wrong.

The Cynic''s Corner

Meanwhile, traditional finance ''experts'' still can''t decide if Bitcoin is digital gold or a speculative asset. Pro tip: When Jamie Dimon changes his tune for the seventh time, maybe stop listening.

One thing''s clear: This isn''t 2021''s leverage-fueled casino. The next rally will be quieter, smarter—and leave bagholders wondering how they missed the signs again.

Long-term holders show no signs of selling

Bitcoin’s RHODL ratio—which compares long-term holders (6 months to 2 years) with short-term holders (1 day to 3 months)—showed that the latter were still holding.

Notably, the RHODL ratio was now trading below 2, under the 2024 high, indicating that long-term selling pressure remained minimal.

Source: CryptoQuant

The Puell Multiple, an important market indicator, showed a reading below 1.40 at press time.

This metric is significant because it suggests institutional and spot market investors are taking advantage of the accumulation phase to buy the asset.

Source: CryptoQuant

Historically, when the Puell Multiple stays below the 1.40 level, it aligns with accumulation periods—signaling more upside potential for Bitcoin.

AMBCrypto further assessed whether market participants are accumulating or distributing the asset.

Spot and traditional investors buys Bitcoin dip

Both spot market activity and traditional investors had increased their buying activities.

Over the past 24 hours, spot market investors spent $60.55 million on Bitcoin. However, this is the lowest daily purchase volume in the last five days.

Source: CoinGlass

At the same time, traditional investors spent $301.70 million, marking one of the highest five-day purchase volumes.

This activity confirms that investors are trying to take advantage of the current price level at $105,000, which, based on the Puell Multiple, is still viewed as a discount.

The question remains: will all market segments align with the accumulation trend? AMBCrypto dug deeper and uncovered more insights.

Crypto funds enter the market: Supply squeeze?

At press time, the Fund Market Premium showed that crypto investment funds were also buying Bitcoin.

Buying occurs when the fund market premium moves into the positive region on the chart—which it currently has, at 0.1.

Source: CryptoQuant

A continued rise in this metric suggests bitcoin is likely to maintain its upward trend, especially when viewed alongside other accumulation indicators. It also raises the potential for a supply squeeze.

A supply squeeze occurs when demand outpaces supply, driving the asset’s price higher.