After a strong start to the year, Bitcoin’s price has corrected and is now trading closer to $90,000. While recent pullbacks suggest resistance near $94,000, new on-chain analysis points to a more significant barrier just below $100,000.
On-chain analyst Axel Adler Jr. recently shared an observation on X regarding Bitcoin’s price path, based on the “Realized Price New Whale STH Vs Old Whale LTH” indicator. This metric compares the average purchase price of Bitcoin held by new large investors (short-term holders) with that held by long-term whales.
Adler noted that new whales have an average entry price around $99,000. With Bitcoin currently near $90,000, these investors are sitting on unrealized losses. The analyst suggests that if Bitcoin’s price rises toward their $99,000 average cost, these whales may be tempted to sell to break even or minimize losses.
When major investors sell, it can reduce buying pressure and increase downward momentum on the price. Therefore, their entry point—in this case, $99,000—could act as a key psychological and technical resistance level.
Meanwhile, other on-chain data reveals varying cost bases across different investor groups. According to analyst Arab Chain on CryptoQuant, the average holding cost for addresses on Binance is approximately $52,691, meaning many traders are currently in profit.
Miners holding over 1,000 BTC have an average cost basis of $58,681, placing them firmly in profitable territory as well, which suggests minimal selling pressure from this group.
Long-term holder whales are in the most advantageous position, with an average acquisition cost of just $39,681. This indicates they are under no pressure to sell and are experiencing significant profits.
Overall, Bitcoin’s market structure appears bullish, with strong support from long-term investors. Any potential downturns are likely to be short-term, driven more by light profit-taking than by forced selling or capitulation.
As of this writing, Bitcoin is trading around $90,624, showing little change over the past day.
Frequently Asked Questions
Frequently Asked Questions About Bitcoin Bulls
Beginner Questions
Q1 What is a Bitcoin bull
A A Bitcoin bull is someone who believes the price of Bitcoin will rise over time The term bullish describes an optimistic market outlook
Q2 What does it mean when people say Bitcoin is in a bull market
A A bull market is a period when prices are generally rising or expected to rise often driven by strong investor confidence and positive sentiment
Q3 Why are people talking about 99000 for Bitcoin
A 99000 is being discussed by analysts as a potential next major price target or resistance levela key point Bitcoin might reach if the current upward trend continues
Q4 Is now a good time to buy Bitcoin if Im a beginner
A It depends on your financial goals and risk tolerance Bulls would say yes if you believe in longterm growth but always do your own research understand the volatility and never invest more than you can afford to lose
Q5 What are the main benefits of a Bitcoin bull market
A Benefits can include significant price appreciation for holders increased mainstream attention and adoption and greater opportunities for trading profits
Intermediate Strategy Questions
Q6 What typically drives a Bitcoin bull run
A Common drivers include increased institutional adoption positive regulatory developments technological upgrades macroeconomic factors and surges in retail investor interest
Q7 What is a key level like 99000 and why is it important
A A key level is a specific price point watched by traders It can act as a psychological benchmark or a technical resistance levelwhere selling pressure might increase Breaking through it could signal further upward momentum
Q8 How can I identify if were in a genuine bull market versus a shortterm spike
A Look for sustained upward momentum over months high trading volumes positive news fundamentals and broadbased market participation Its wise to use multiple indicators not just price
Q9 What are common mistakes people make during a bull market
A Common mistakes include buying based purely on hype overleveraging ignoring risk management