Bitcoin Bulls Charge Again: Historic Rally Indicator Flashes Green

The same technical signal that called Bitcoin’s last two major breakouts just triggered again—and traders are piling in.

Market psychology flips: After months of sideways action, on-chain data shows whales accumulating while retail hesitates. Sound familiar?

Wall Street analysts scramble to update price targets (better late than never). Meanwhile, crypto OGs smirk—they’ve seen this script play out before.

One hedge fund manager sniffed, ’It’s not a real rally until we get a useless meme coin pumping 10,000%.’ Tick-tock.

Bitcoin Taker Buy-Sell Ratio Signals Renewed Bullish Control

CryptoQuant contributor G a a h highlighted that the Taker Buy Sell Ratio, a metric measuring the ratio of market buy orders to sell orders, has climbed to a significant threshold of 1.02. Historically, similar levels have coincided with crucial inflection points in Bitcoin’s price movement.

For instance, this metric reached comparable highs during the late 2022 lows between $15,000 and $20,000, and again in October 2023 as Bitcoin broke through the $30,000 resistance level.

According to G a a h, this recent breakout above the 1.00 line reflects an increase in aggressive buying activity, with market takers once again asserting short-term control. This suggests upward momentum may persist in the NEAR term.

However, the analyst also cautioned that these same conditions have previously been followed by volatility spikes, marking both the start and reversal of market trends. The analyst wrote:

It’s worth noting that in previous periods, this same level has coincided with reversal zones or strong volatility, marking both the start and end of trends. We are therefore facing a scenario where buyer appetite could continue to drive BTC towards new highs.

Realized Price Trends Confirm Ongoing Market Strength

In a separate analysis, CryptoQuant analyst crypto Dan examined Bitcoin’s realized price, a metric that reflects the average purchase price of all circulating BTC, as a tool to gauge market sentiment and directional strength.

According to the report, the realized price is still on the rise, indicating that investors are increasingly accumulating BTC at higher prices. This trend differs significantly from previous cycles, where a reversal in the realized price preceded steep corrections.

Crypto Dan attributes the current rise to institutional inflows, particularly through spot bitcoin ETFs and corporate balance sheet purchases. These channels have brought in sustained capital, elevating the average acquisition price and reinforcing market structure.

As institutional players continue to allocate capital into Bitcoin, the realized price trend suggests that the ongoing rally may have more room to extend. With macroeconomic support from tariff reductions and on-chain indicators flashing green, the broader setup remains constructive for Bitcoin’s continued strength in the near term.

Featured image created with DALL-E, Chart from TradingView