Bitcoin News Today: Bitcoin Surges Past $120,000, Next Target $136,000

Bitcoin (BTC) has recently broken through a significant resistance level, surpassing $120,000, with the next target set at $136,000, according to Glassnode. This breakthrough is indicative of strong underlying momentum in the cryptocurrency market. Glassnode analysts noted that short-term holders have exceeded the average cost basis by +1 standard deviation, which is approximately $120,000. This level has historically served as resistance during strong uptrends for Bitcoin.

If the upward momentum continues, the next resistance level is expected to be at +2 standard deviations, around $136,000. This level has also historically acted as resistance during periods of strong momentum. The current price of Bitcoin is approximately $118,000, marking a slight decline of over 5% from its all-time high. This price movement is accompanied by a notable wave of accumulation across the entire network, indicating a period of consolidation.

According to Glassnode data, Bitcoin is entering a new phase of price discovery, with the majority of its supply now in profit. The current price is above the 95th percentile, suggesting a bullish trend. However, there are signs of potential overheating in the short term. Glassnode's cost-basis heatmap revealed that buyers were quick to act when Bitcoin dipped below $116,000 earlier this week. Approximately 196,600 BTC changed hands during this period, highlighting the active participation of new holders in the market. Fresh capital is entering the market, with new holders acquiring 140,000 BTC in just two weeks. This influx of new capital is driving the market forward, as indicated by the increase in the number of new Bitcoin holders.

Analysts at Glassnode point out that Bitcoin has decisively broken into new all-time highs, signaling strong underlying momentum. However, a failure to hold above $118,000 could drag Bitcoin below the psychological $100,000 level toward historic support areas. These levels represent important milestones for the cryptocurrency's price movement. According to the analyst's forecast, the price of Bitcoin could reach $200,000 by September, driven by the continued influx of new capital and the accumulation of Bitcoin by new holders.

The increase in profit-taking by short-term holders, as indicated by a report from on-chain analytics firm Glassnode, suggests that some investors are locking in gains. This behavior is typical during periods of price consolidation and can contribute to short-term volatility. However, the overall trend remains bullish, with the number of new Bitcoin holders increasing by 2.86%, from 4.77 million BTC to almost 5 million BTC. This increase in holdings reflects the growing interest and participation in the Bitcoin market, further supporting the bullish outlook.