Despite Bitcoin reaching a high of $124,500, analysts like Merlijn The Trader suggest this is not the cycle peak, as all 30 peak indicators remain neutral. Recent sell-offs indicate new investors are capitulating, while seasoned holders remain unaffected, with an unrealized loss of only -3.50% among new investors. In contrast, short-term holders are showing an aggregate unrealized gain of +4.50%. This phase is viewed positively, as it reflects a healthier market structure. The market is shedding its weaker hands, preparing for potential recovery, with key levels around $117,000–$118,000 acting as price magnets. Although a decline beneath the 20-week EMA could see a drop to $95,300, the current situation more closely resembles a bull market correction, maintaining the chance for Bitcoin to approach its all-time high of over $125,500 by the end of 2025. The absence of a short squeeze suggests that latent upside potential remains if Bitcoin manages to reclaim crucial levels.

Source 🔗