Bitcoin Closes Above $109,000, Institutional Buyers Return

Bitcoin has achieved a significant milestone by closing above $109,000 for the first time, marking a pivotal moment in its market trajectory. This weekly close not only surpassed the previous high of $109,004 but also triggered a shift in market sentiment, with sellers transitioning to buyers and confidence returning to key support zones. Institutional buyers have once again shown interest in Bitcoin, driving renewed confidence across these zones.

However, despite this bullish sentiment, resistance still caps further upside. Bitcoin's technical breakdown reveals that this resistance level has previously pushed the cryptocurrency down three times on breakout attempts. Analysts predict that Bitcoin may dip toward $107,320, the nearest mid-range support. If this level holds, bulls may regain momentum and aim for the $110,000 zone. However, Bitcoin first needs to reclaim this level with volume before any all-time high retest looks valid. If this support level fails to hold, the next likely drop could be toward $104,984—the next significant support zone.

An analysis of the Bitcoin Liquidation Heatmap on Binance on the 7th of July revealed that Bitcoin is likely to drop to the $107,000 region. This drop is likely because, between Bitcoin’s price on the 7th of July and $110,000, there is almost no liquidation leverage. However, between the current price and the $107,000 region, notable liquidity clusters exist. In fact, at precisely $107,731.15, total liquidation leverage stands at $85 million.

FUD (Fear, Uncertainty, and Doubt) among macro investors is beginning to fade, and the long-term outlook has regained dominance. On the 7th of July, Binary Coin Days Destroyed (CDD)—an indicator of long-term investor activity—showed a significant drop, suggesting that major players have resumed holding their assets rather than selling. This signaled that long-term investors, who typically control large volumes of BTC, have halted their selling, adding further confirmation that the likelihood of a significant drop is low. It adds confidence to the ongoing rally.

According to CoinGlass data on Bitcoin Spot ETF Net Inflow, institutional investors dumped BTC once since the 9th of June – that is, on the 1st of July. But that sale was short-lived. Within days, institutions bought back over $1 billion in BTC, further solidifying the long-term bullish tilt. CryptoQuant’s Net Realized Profit and Loss dropped significantly since the 4th of July. After peaking at $9.08 billion in total Realized Profit, it declined sharply, with the Realized Profit sitting at just $315 million on the 7th of July. More notably, Exchange Depositing Addresses also fell to just 22,000, a low not seen since 2016. That’s a strong signal: Bitcoin first strategies are dominating again, with investors preferring cold wallets over quick exits. In fact, whales have resumed accumulation after a year-long hiatus. The broader market euphoria to sell has diminished. Whales holding between 10,000 and 100,000 BTC re-entered the market in March and July. During this time, BTC achieved high profitability, yet whale behavior remained patient. They didn’t sell—they accumulated.