Bitcoin's recent price dynamics suggest it might be nearing another 'local bottom' as retail investors take profits amid a price range around $120,000. Analysis by CryptoQuant indicates that short-term holders (STHs), typically those holding Bitcoin for less than six months, are increasingly depositing their assets to exchanges like Binance, a behavior often correlated with local price bottoms. The inbound transaction ratio on Binance from these STHs has recently crossed 0.4, indicating significant profit-taking activity. Additionally, large liquidity clusters in Bitcoin's order books are attracting attention, particularly around the $117,500 mark, which is viewed as a potential price magnet for future movements. This behavior comes on the heels of a market surge that has rekindled trading activity across various exchanges, including notable increases in spot trading volumes. Despite recent volatility, market participants remain optimistic about upward price movement in the near future.

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