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Bitcoin's Realized Capitalization Surges 25.81% as Investor Confidence Grows

Coin WorldWednesday, Apr 30, 2025 12:16 pm ET

1min read

Bitcoin's realized capitalization reached $882.228 billion on April 29, signaling a surge in investor confidence. This metric suggests that the market is anticipating a significant price movement, as the higher realized capitalization indicates that more investors are holding onto their Bitcoin for the long term, rather than selling at a loss.

Social Dominance for Bitcoin stood at 25.81%, reflecting a notable increase in market attention and engagement. This rise in social volume indicates that more participants are discussing Bitcoin, which could lead to a growth in investor sentiment. Historically, increased social interest in Bitcoin has often preceded price movements, potentially attracting fresh capital if the trend continues.

Bitcoin's NVT ratio, which stands at 460.14, suggests that its price is undervalued compared to its transaction volume. A high NVT ratio implies that the market value has not yet caught up with on-chain activity, indicating that Bitcoin may rise as the market adjusts to the increased activity. With strong transaction flow, Bitcoin is likely to maintain its bullish trend if the momentum continues.

Despite recent market corrections, Bitcoin's Price DAA Divergence chart shows a -217.59% divergence, indicating that price increases are outpacing Daily Active Addresses (DAA). This continued divergence suggests strong demand for Bitcoin, even amid market fluctuations. Active Addresses have not slowed down, reinforcing the idea that the bullish trend will likely continue, even if market corrections occur.

Bitcoin is currently testing key resistance levels near $95,709 and $98,666, with price action showing potential for further upward movement. The current price is close to its upper Bollinger Band, a position that often precedes breakouts when pressure builds. Additionally, the MACD remains bullish, with the MACD line at 2,965.81 above the signal line at 2,289.86, indicating that momentum favors buyers.

While long liquidations near the $94K level pose a risk of short-term volatility, the overall indicators suggest that Bitcoin may soon breach the $95,709 resistance level and potentially aim for $98,666. The combination of strong market confidence, increased social engagement, and bullish technical indicators supports the notion that Bitcoin's renewed optimism could translate into gains.

Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.