Bitcoin Drops Below $104,000 But Key Metrics Show Market Stability

Bitcoin’s recent bearish movements have intensified, causing the flagship asset to lose the key $104,000 price level. Despite this pullback, key metrics such as the BTC Realized Profits remain in a positive range, indicating a state of sound equilibrium in the market.

On-chain data shows that the Bitcoin market dynamics are cooling off as BTC Realized profits remain at a key zone. This stability suggests that the market may still have the capacity to rise as investors are exercising patience rather than making hasty withdrawals. On-chain expert Darkfost reported that there are no significant red flags regarding realized profits on Bitcoin within the 7-day timeframe. The expert believes that monitoring these indicators is crucial to predict any changes in market structure or attitude.

Darkfost analyzed the BTC Net Realized Profit/Loss metric and revealed that realized profits are still below a $1 billion value. This level is similar to what was captured near the conclusion of the correction in October 2024. Despite a minor increase during the most recent all-time high, realized profits were still far lower than those recorded in January 2025. Such positioning from the metric implies that investors and traders are not concerned enough or are not seeing enough profit to spark a large-scale sell-off.

Looking into Bitcoin’s Realized Cap – UTXO Age Bands by percentage, the metric shows a shift in BTC movements. Market expert and Crypto Banter Show host Kyle Doops noted that more BTC is currently moving to strong hands or seasoned investors. Data from the key on-chain metric shows that the share of UTXOs held for 6 to 12 months has now doubled. This notable advancement marks a massive shift in market dynamics, indicating that conviction is increasing and supply is becoming more scarce. Historically, this kind of setup has preceded a rebound in price, suggesting that the ongoing volatility may be the calm before a major run.