Bitcoin (BTC) Has Been Trading Close to Its All-Time High, Brushing Near the $109,000 Level

Bitcoin (BTC) Has Been Trading Close to Its All-Time High, Brushing Near the $109,000 Level. But while prices rise

Bitcoin (BTC) has been trading close to its all-time high, brushing near the $109,000 level. But while prices rise, the group that usually drives sell-offs—long-term holders—is not moving their coins. Instead of cashing out, these investors are still holding on, showing strong belief in more gains ahead.

A CryptoQuant Quicktake post by ShayanMarkets points out that those holding Bitcoin for more than 150 days are not rushing to take profits. Historically, when the cryptocurrency nears previous highs, many long-time investors usually sell a portion of their assets. That behavior has not shown up this time.

The long-term holder Spent Output Profit Ratio, or SOPR, has been declining. This signals that even as the price pushes upward, these investors are not realizing profits. The data points toward further accumulation rather than selling, which often reflects trust in more upside.

Bitcoin's recent movement is being shaped more by short-term holders and retail traders. These types of investors often respond quickly to price shifts, both up and down. Unlike long-term holders, their activity can lead to fast changes in momentum.

When Bitcoin holds near ATH levels, it usually leads to larger profit-taking. That hasn't happened so far. "This decline suggests that long-term holders have not yet engaged in notable profit-taking," ShayanMarkets explains. "Rather, they anticipate higher prices in the short term."

Meanwhile, a sharp drop in the amount of Bitcoin stored on exchanges further confirms that many investors are holding rather than preparing to sell. As of May 15, the total amount of BTC on exchanges fell to 2.44 million coins. Over the last month, more than 110,000 BTC have been withdrawn. Exchange balances are now at their lowest point in six years.

Investors often move coins off exchanges when they don't plan to sell soon. That signals confidence that prices may rise further. Holding coins in self-custody wallets suggests fewer sellers in the short term, which tightens supply and can push prices up if demand stays strong.

Support for Bitcoin's price outlook is also growing from network activity metrics. The transaction volume Z-score—a tool that compares recent network use with its average—has been climbing fast.

Ted Boydston, a crypto investor, noted on May 15 that the metric is nearing 1 after rising from below zero. "Bitcoin should be full bull once the Z-score breaches 1," Boydston said. A Z-score above 1 has matched up with major rallies in the past.

Chart watchers are also keeping a close eye on resistance levels. Captain Faibik shared on May 16 that Bitcoin is stuck in a sideways range between $101,000 and $104,900. On the 4-hour chart, the price has stayed in that band for over a week. Bulls have made several breakout attempts, but all have hit a wall at the $104,900 mark.

"The bulls are in complete control," said Faibik. But they still need to break through that level for a real move higher. If the cryptocurrency can close above $104,900 with strong momentum, a new all-time high could follow soon after.