Bitcoin Unrealized Profits Surge 125% As Price Reaches $107,000

Bitcoin's recent price recovery to $107,000 has brought many investors back into profitability. According to Glassnode, total unrealized profits among Bitcoin holders have climbed to $1.2 trillion, nearing the all-time high of $1.3 trillion set late last year. This indicates that the average investor is currently sitting on a 125% paper gain, with unrealized profits edging closer to their previous all-time high.

Glassnode's data also reveals a notable decrease in short-term selling, suggesting that many investors are choosing to hold onto their Bitcoin rather than sell. This trend is further supported by the fact that realized profits on the Bitcoin network surged to $2.46 billion in a single day, while the 7-day moving average climbed to $1.52 billion. This figure is well above the year-to-date average of $1.14 billion, indicating that investors are beginning to secure gains, potentially preparing for increased volatility.

Despite the uptick in profit-taking activity, the overall market momentum for Bitcoin appears to be improving. The broader trend remains positive, with Bitcoin climbing over 15% since rebounding from the $75,000 level in April. This strength coincides with a broader risk-on environment, as the US stock market recently reached a new all-time high. Many analysts believe that Bitcoin and the wider crypto market could be next in line to benefit from improved sentiment and increased investor appetite.

However, the coming days may be crucial for Bitcoin’s next major move. If bulls can reclaim the $109,000 level, momentum could return. But if profit-taking intensifies, a deeper correction could bring BTC back toward the $100,000 mark. The 12-hour chart of Bitcoin shows a clear consolidation phase that began in early May, with key support at $103,600 and stiff resistance near $109,300. Currently, Bitcoin is trading at approximately $106,557, slightly below the short-term moving averages, suggesting a potential cooling-off period. Price action remains choppy, with multiple failed attempts to establish a clear trend. Despite bullish attempts to retest the upper resistance band, volume has not confirmed a breakout, and wicks above $109,000 indicate exhaustion at those levels. The $106,000 mark—aligned with the 50 and 100 SMAs—is acting as a dynamic support, but a break below could quickly send BTC to retest the $103,600 level. On the upside, bulls must clear $109,300 with conviction to trigger a potential rally toward new all-time highs.