Bitcoin News Today: Bitcoin's Cold Storage Surge Hints at Quiet Bullish Build-Up

Bitcoin (BTC) is currently trading in a consolidation phase around $110K, following a corrective pullback that has drawn attention from market analysts and on-chain observers. Key support levels have held, but momentum remains subdued, as indicated by the Relative Strength Index (RSI), which stands at 44 on the daily timeframe. The 100-day moving average aligns with this support zone, suggesting that the market is in a temporary pause, awaiting a decisive move either upward toward $116K or downward toward $104K. Traders and investors are closely watching this range as a critical juncture in the ongoing BTC price narrative.

On the 4-hour chart, Bitcoin has broken out of a descending channel and is now consolidating within a narrower ascending formation. The price is currently retesting the $110K–$111K zone, a key short-term pivot. RSI remains balanced at 49, reflecting a state of indecision and lack of strong directional bias. Analysts highlight that a successful defense of this support zone could push the price toward $114K, where selling pressure might once again emerge. Conversely, a clear breakdown below $109K would signal the invalidation of the short-term bullish setup and could lead to a deeper correction toward the $104K area.

On-chain data provides further insight into the market’s behavior. Exchange reserves have seen a sharp and sustained decline, reaching multi-year lows. This trend reflects a broader pattern of Bitcoin being moved off exchanges and into cold storage, which is typically associated with long-term accumulation. The reduced availability of sell-side inventory on exchanges suggests a supply shock that could support a bullish reversal if demand picks up. Historical precedents show that such drawdowns in reserves often coincide with the beginning of new bullish cycles, reinforcing the idea that long-term investors are increasingly confident despite near-term volatility.

While Bitcoin remains the focal point of macro-level analysis, smaller altcoins like Sei (SEI) are showing mixed performance. The SEI token, native to the Sei blockchain, has experienced a recent surge, rising over 50% in a week amid growing on-chain activity and network adoption. Despite a 2% drop in the last 24 hours, SEI has outperformed many other top-100 tokens by market capitalization. The Sei network has reached 600,000 active wallets, driven by its focus on gaming applications and high-speed transaction processing. This growth is supported by institutional interest, including Wyoming’s selection of Sei as one of the finalists for its WYST stablecoin pilot program.

The broader market context also includes regulatory developments, such as the passage of the U.S. GENIUS Act, which introduces federal oversight for stablecoins and reinforces the dollar’s dominance in the crypto space. This legislative shift is expected to impact not only stablecoins but also the broader blockchain ecosystem, as companies seek to align with regulatory frameworks to facilitate institutional adoption. The regulatory clarity provided by such measures could contribute to increased market stability and investor confidence, particularly in the U.S. and global financial hubs.

As the crypto market navigates these dynamics, the interplay between technical indicators, on-chain activity, and macro-level policy developments will likely shape the trajectory of Bitcoin and other digital assets. Analysts caution that while the current price consolidation offers a potential opportunity for a rebound, investors should remain cautious given the market’s sensitivity to macroeconomic factors and regulatory developments. The coming weeks will be critical in determining whether the recent consolidation leads to a sustained bullish breakout or a deeper correction.

Source: [1] Bitcoin Price Analysis: Is This BTC's Calm Before Another Major Storm? (https://cryptopotato.com/bitcoin-price-analysis-is-this-btcs-calm-before-another-major-storm/) [2] Sei Price, SEI Price, Live Charts, and Marketcap (https://www.coinbase.com/price/sei) [3] Sei (SEI) Price Today, News & Live Chart (https://www.forbes.com/digital-assets/assets/sei-sei/)