Bitcoin Dips to $112K as Ethereum Charges Ahead - But $1T Realized Cap Hints at Massive BTC Rally Ahead
Bitcoin takes a breather at $112K while Ethereum builds momentum—but don't count the king out just yet.
The $1 Trillion Floor
That massive realized cap isn't just a number—it's the foundation for what comes next. When that much value gets locked in, history shows explosive moves follow.
Ethereum's Strong Hand
ETH isn't just holding ground—it's gaining while BTC cools off. Smart money rotates, but never forget which asset built this entire ecosystem.
Rally Fuel Loading
Market cycles have patterns even traditional finance types can't ignore (though they'll still try to explain it with outdated models). When Bitcoin's base gets this solid, the next leg up tends to be violent.
Get ready—when this consolidation ends, the move will separate the believers from the tourists.
Bitcoin whales shift into ETH
Some of the market’s oldest Bitcoin holders appear to be rotating into Ethereum. In one such transaction, on-chain monitoring platform Lookonchain reported on Aug. 24 that a dormant BTC wallet, active for years, moved 6,000 BTC worth $689.5 million into ETH.
The bitcoin OG moved out another 6,000 $BTC($689.5M) to buy $ETH.
So far, he has bought 278,490 $ETH($1.28B) at an average price of $4,585, and still holds a 135,265 $ETH($581M) long position.https://t.co/vtO2lQoILC pic.twitter.com/47PuHVQGEb
The wallet has so far accumulated 278,490 ETH ($1.28 billion) at an average price of $4,585. It still holds 135,265 ETH ($581 million), suggesting a strong conviction in Ethereum’s trajectory.
Ethereum has also been gaining ground in exchange-traded fund inflows and ETH treasury company accumulations. Such whale moves add weight to ETH’s relative strength in recent weeks, with traders speculating that capital rotation could sustain Ethereum’s momentum even as Bitcoin consolidates.
Bitcoin Realized Cap tops $1 trillion
Despite its short-term retracement, Bitcoin has notched a historic milestone on-chain. On Aug. 24, CryptoQuant contributor Burakkesmeci highlighted that Bitcoin’s Realized Cap surpassed $1 trillion for the first time.
Unlike traditional market capitalization, which multiplies supply by the latest price, Realized Cap values coins based on the price they were last transacted. This metric captures the “real” capital that has flowed into Bitcoin rather than just nominal market value.
The $1 trillion threshold reflects record levels of liquidity entering the network and suggests that the rally is supported by tangible investment rather than speculative froth.
“Just wait until Realized Cap hits $2 trillion — then you’ll really see our little guy shine,” Burakkesmeci wrote in his CryptoQuant note.
Bitcoin technical analysis
Bitcoin is showing mixed signals. The MACD is still in bearish territory, indicating that the downward pressure has not completely subsided, while the relative strength index is hovering at 48, indicating neutral momentum. Oversold conditions are also indicated by momentum indicators like the Stochastic RSI, which suggests that sellers may soon run out of steam.
Short-term moving averages tell a cautious story. Bitcoin is trading below both its 10-day and 20-day exponential moving averages, signaling continued weakness. However, the longer-term trend remains intact, with the 100-day and 200-day moving averages still pointing upward, reflecting structural support beneath current levels.
Traders anticipate a possible rebound toward the $115,000–$117,000 resistance zone if Bitcoin maintains above $110,000. A deeper decline toward the $105,000 mark, however, might be possible if there is a break below $110,000.
