Bitcoin's Realized Cap Impulse Signals Bull Market Strength Despite Price Fluctuations

Bitcoin's price action has been relatively subdued, with the cryptocurrency confined within a specific range despite broader market weakness. However, the Realized Cap Impulse metric suggests that the bull market remains robust. This metric has shown a sharp increase despite the waning price movements, indicating that the bull market is still strong from an on-chain perspective.

Alphractal, an advanced investment and on-chain data platform, reported that the Bitcoin Realized Cap Impulse metric has been steadily advancing. This metric is a key indicator of the current cycle's growth potential. Data from the on-chain platform shows that the metric is holding firm at key levels, which are considered the final base of support. This resilience indicates that holders are maintaining their confidence despite ongoing price fluctuations. The indicator also provides insights into supply and demand dynamics over an extended time frame.

As long as the Realized Cap Impulse remains above these key levels, it signals robust demand, which supports upward price movements in both the short and long term. With demand building even as the price wavers, this development could provide a base for the subsequent leg up in Bitcoin's price. Alphractal expects the realized cap impulse to keep increasing for the next few months, particularly until October. However, the platform believes that this might be the final significant move before a protracted bearish cycle begins, which might persist for roughly a year, concluding at the end of 2026.

A crypto analyst from On-Chain College suggested that Bitcoin could witness a sharp decline before experiencing a major rally. The analyst stated that key levels for Bitcoin are converging around $95,000, indicating solid support at that level if considering the previous three times these levels have merged. While it is possible for BTC to retest the $95,000 mark, On-Chain College believes that a move down to this level would be quite healthy and normal in the ongoing bull market. As a result, the analyst contends that BTC would recover from the drop and rally to the $125,000 milestone in the short term.