Bitcoin’s Bounce Back: On-Chain Data Reveals Intense Selling Pressure at $113.6K
Bitcoin's latest surge hits a wall of resistance as blockchain analytics flash warning signs at the $113.6K threshold.
Market Mechanics Exposed
On-chain metrics don't lie—whale wallets and exchange inflows signal profit-taking behavior just as Bitcoin approaches its next psychological barrier. The data suggests large holders are positioning to liquidate portions of their stacks, creating an invisible ceiling that's tougher than traditional resistance levels.
The Institutional Game
While retail investors cheer the bounce, sophisticated players are quietly building exit liquidity—because nothing says 'financial innovation' like the same old pump-and-dump strategies with fancier technology. The blockchain transparently reveals what price charts conceal: everyone's waiting for the next greater fool to pay $113,600.
This isn't a market—it's a high-stakes game of musical chairs where the music stops at six figures.
Mixed flows
As of now, the spot market flows suggest an uphill battle for the bulls ahead, while ETF and corporate activity suggest otherwise.
"Spot demand remains neutral, as perpetuals tilt bearish with CVD negative. The current funding rate of ~0.01% points to a fragile neutrality. If price breaks above $112.4K with volume, it opens the pathway to $114K – $116K," Timothy Misir, head of research, BRN.
That said, ETF inflows and corporate adoption of BTC continues to suck out significant supply from the market, offering a bullish hope, Misir explained.
"ETF flows continue to strengthen with $81 million for Bitcoin ETFs and $307 million for Ether ETFs over the past day. ETFs, corporates, and governments are now absorbing ~3,600 BTC/day, which translates to ~4x miner issuance. Metaplanet announced a new plan to raise $881 million to buy $837 million BTC in Sep–Oct, adding to its 18,991 BTC," he noted.
Gauging key support
Should BTC turn lower, then $107,000 is the key support level to watch.
That's because analysis by Glassnode shows that the six-month cost basis is at that level. So, a break lower WOULD prompt these holdings to sell, potentially causing a more profound decline.
"The 6-month cost basis sits NEAR ~$107k. A sustained move below this level risks triggering fear, which could accelerate downside momentum," Glassnode said.
