Bitcoin (BTC) Shows Strength Again as Market Data Points to Steady Rebound Not Driven by Speculative Spikes

The world's largest cryptocurrency, Bitcoin BTC $96 611 24h volatility: 2.1% Market cap: $1.92 T Vol. 24h: $29.09 B , is showing strength again.

The world's largest cryptocurrency, Bitcoin BTC $96 611 24h volatility: 2.1% Market cap: $1.92 T Vol. 24h: $29.09 B , is showing strength again as it continues to build a more stable phase in the current bull cycle, new data from CryptoQuant suggests.

This time, the rebound is not being driven by speculative spikes in funding rates or massive trading volumes on Binance, a pattern that usually leads to price drops as the market overheats and is later marked by a surge in leveraged buying and short-term speculation.

Bitcoin's Rebound Without Overheating Is A Clear Sign Of A Healthy Bull Market

"This indicates that buying sentiment remains favorable for further upside, suggesting that it’s not yet time to consider an exit." - By @avocado_onchain 🥑

As highlighted by CryptoQuant analyst avocado_onchain, despite Bitcoin's price showing signs of recovery, the market buy volume on Binance is decreasing, while funding rates remain stable. This signals that the current price increase is not a hyped event but rather a more fundamental shift in investor behavior.

"The crypto market may have entered a new phase," the analyst remarked.

According to the analysis, while investor interest has picked up since the last price correction, the market has not yet entered a stage of frantic buying, indicating that the rally could still have legs.

It is worth noting that since 2023, on-chain data shows that Bitcoin market buy volume has been increasing slowly but steadily, marked by what the analyst describes as a yellow arrow in trading charts.

As Coinspeaker recently noted, Bitcoin is teasing a potential price breakout as it trades at $105,288.89 following a 2% rebound in the past 24 hours.

Analysts are watching for a “golden cross” pattern to form. This is a bullish signal that occurs when the short-term, say 50-day simple moving average, crosses above the longer-term 200-day simple moving average.

The takeaway from CryptoQuant's latest findings is that Bitcoin may be on a solid path upward, without the kind of overheating that has triggered major setbacks in the past.

Again, while no one can pinpoint the exact timing of a new all-time high, the current signals suggest there is still room for growth. This outlook encourages caution rather than euphoria, which could serve the long-term sustainability of this rally.

Whales Silently Accumulate As Bitcoin Price Remains Above $100K

Several major Bitcoin holders, known as whales, are making large withdrawals from centralized exchanges, according to Lookonchain's data. This signals strong confidence in the asset's future price movement.

Many whales are accumulating $BTC!

bc1qcp withdrew another 1,350 $BTC($141.91M) from #Binance 8 hours ago and currently holds 20,723 $BTC($2.19B).

bc1qpu (linked to Abraxas Capital) withdrew 675 $BTC($71.03M) from #Kraken 7 hours ago and currently holds 1,797 $BTC($190.11M).

A… pic.twitter.com/Jccvs4xhvK

— Lookonchain (@lookonchain) May 20, 2025

In the past 24 hours, notable activity has been recorded from wallets making sizable exits from Binance and Kraken. Per the update, wallet bc1qcp withdrew 1,350 BTC (worth over $141 million) from Binance, bringing its total holdings to 20,723 BTC, or roughly $2.19 billion.

Around the same time, wallet bc1qpu, likely connected to Abraxas Capital, removed 675 BTC from Kraken and now holds 1,797 BTC, valued at approximately $190 million.

Another newly created wallet, bc1q5k, also withdrew 500 BTC from Binance, equal to $51.5 million. This cluster of high-value movements implies ongoing accumulation by institutional players. It also shows long-term holders who prefer to store Bitcoin offline, away from the influence of short-term trading.

It is worth noting that such movements often signal a bullish outlook. This is because investors typically transfer funds off exchanges when they plan to hold rather than sell.

Michael Saylor's Strategy has acquired $764 million worth of Bitcoin in line with the current positive outlook. This brought its total holdings to 576,230 BTC amid growing BTC yield. Japanese investment firm Metaplanet also executed its second-largest single Bitcoin purchase to date. The firm purchased