Bitcoin Holds Steady Above $86K as On-Chain Data Points to ‘Bullish Shift’

Samuel Edyme

3 months ago

3 mins read

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Bitcoin has shown signs of stabilization above the $86,000 mark after reclaiming the level earlier this week. This recovery marks a shift in short-term sentiment after several weeks of price turbulence.

While the asset remains down approximately 20.2% from its all-time high set in January, the current rebound suggests a pause in downward pressure and a potential reassessment among market participants.

Despite the recent uptick, traders and analysts remain cautious. Market behavior has been mixed, with on-chain metrics and trading activity offering differing signals.

CryptoQuant contributor Nino recently provided a breakdown of the Coinbase Premium Index and its implications for Bitcoin’s short-term direction, pointing to changing sentiment in the US market.

Coinbase Premium Turns Positive Amid Stabilizing Price

In a recent QuickTake post titled “Is the Coinbase Premium Signaling a Bullish Shift for Bitcoin?”, Nino observed that the index—which measures the price gap between Bitcoin on Coinbase and other exchanges—had hovered near zero for weeks.

Bitcoin Coinbase premium index. | Source: CryptoQuant

However, it now appears to be entering positive territory. This trend, if sustained, may reflect a growing appetite from US-based traders and institutions. Historically, a positive Coinbase Premium has coincided with increased spot demand and broader upward price momentum.

Nino added that while this shift can be a bullish signal, it should be evaluated alongside other market indicators such as trading volume and on-chain metrics. These combined factors help clarify whether the move represents real buying conviction or short-term speculation.

In parallel, renowned market analyst Ali noted that following Bitcoin’s surge above $70,000 in late 2024, stablecoin reserves grew from $26 billion to $46 billion—often an indication of profit-taking by investors.

Now that reserves have plateaued, the market may be entering a period of reduced selling pressure, as participants appear to be waiting for new catalysts before re-entering.

After #Bitcoin $BTC broke $70,000 in late 2024, stablecoin reserves jumped from $26 billion to $46 billion, signaling heavy profit-taking.

Now that reserves have plateaued, it looks like investors are sitting on the sidelines. pic.twitter.com/PRtOQnNq5x

— Ali (@ali_charts) March 26, 2025

Bitcoin Whale Accumulation and Long-Term Signals

Further reinforcing this narrative, Ali also pointed to new whale accumulation trends. Specifically, 48 new Bitcoin wallets have surpassed the 100 BTC threshold, indicating growing holdings among large-scale investors.

This increase in whale addresses is generally interpreted as a sign of confidence in long-term price appreciation. When whales accumulate during consolidation phases, it can reflect expectations for upward movement once market uncertainty subsides.

Whale behavior has historically played a significant role in shaping Bitcoin’s market structure. Accumulation at higher levels can act as price support while selling activity from these holders can introduce major volatility.

In the current cycle, rising whale accumulation coupled with improving Coinbase Premium readings may suggest that strategic buyers are positioning themselves for potential future rallies.

Bitcoin (BTC) price chart on TradingView — BTC price is moving downwards on the 2-hour chart. Source: BTC/USDT on TradingView.com

Featured image created with DALL-E, Chart from TradingView

Samuel Edyme

Meet Samuel Edyme, Nickname - HIM-buktu. A web3 content writer, journalist, and aspiring trader, Edyme is as versatile as they come. With a knack for words and a nose for trends, he has penned pieces for numerous industry player, including AMBCrypto, Blockchain.News, and Blockchain Reporter, among others.

Edyme’s foray into the crypto universe is nothing short of cinematic. His journey began not with a triumphant investment, but with a scam. Yes, a Ponzi scheme that used crypto as payment roped him in. Rather than retreating, he emerged wiser and more determined, channeling his experience into over three years of insightful market analysis.

Before becoming the voice of reason in the crypto space, Edyme was the quintessential crypto degen. He aped into anything that promised a quick buck, anything ape-able, learning the ropes the hard way. These hands-on experience through major market events—like the Terra Luna crash, the wave of bankruptcies in crypto firms, the notorious FTX collapse, and even CZ’s arrest—has honed his keen sense of market dynamics.

When he isn’t crafting engaging crypto content, you’ll find Edyme backtesting charts, studying both forex and synthetic indices. His dedication to mastering the art of trading is as relentless as his pursuit of the next big story. Away from his screens, he can be found in the gym, airpods in, working out and listening to his favorite artist, NF. Or maybe he’s catching some Z’s or scrolling through Elon Musk’s very own X platform—(oops, another screen activity, my bad…)

Well, being an introvert, Edyme thrives in the digital realm, preferring online interaction over offline encounters—(don’t judge, that’s just how he is built). His determination is quite unwavering to be honest, and he embodies the philosophy of continuous improvement, or “kaizen,” striving to be 1% better every day. His mantras, “God knows best” and “Everything is still on track,” reflect his resilient outlook and how he lives his life.

In a nutshell, Samuel Edyme was born efficient, driven by ambition, and perhaps a touch fierce. He’s neither artistic nor unrealistic, and certainly not chauvinistic. Think of him as Bruce Willis in a train wreck—unflappable. Edyme is like trading in your car for a jet—bold. He’s the guy who’d ask his boss for a pay cut just to prove a point—(uhhh…). He is like watching your kid take his first steps. Imagine Bill Gates struggling with rent—okay, maybe that’s a stretch, but you get the idea, yeah. Unbelievable? Yes. Inconceivable? Perhaps.

Edyme sees himself as a fairly reasonable guy, albeit a bit stubborn. Normal to you is not to him. He is not the one to take the easy road, and why would he? That’s just not the way he roll. He has these favorite lyrics from NF’s “Clouds” that resonate deeply with him: “What you think's probably unfeasible, I've done already a hundredfold.”

PS—Edyme is HIM. HIM-buktu. Him-mulation. Him-Kardashian. Himon and Pumba. He even had his DNA tested, and guess what? He’s 100% Him-alayan. Screw it, he ate the opp.

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