Bitcoin is presently valued in the $122,000 price region following an impressive price surge over the last week. Notably, bullish sentiments around the crypto market leader are presently strong as analysts speculate that another accumulation phase may have commenced. On-chain analytics page, Swissblock has now provided an in-depth analysis of the present market situation, with insights on potential drivers for profits or losses.
BTC Dip To $108,600 A Constructive Reset
Earlier this month, Bitcoin registered a sharp decline from $117,000 to $108,600, sparking fears of a deeper correction. Although the market has since recovered, Swissblock explains that several on-chain indicators show the move was less a collapse and more a constructive reset.
The notion of a “reset, not capitulation” is key as resets allow markets to flush out excess leverage, absorb weak-handed sellers, and create room for fresh demand. Swissblocks explains that this is exactly what occurred in the $114,000–$118,000 range, where many late buyers from August had been looking for an exit. Their supply was absorbed, clearing a cluster of resistance and unlocking the path to retest all-time highs.
Notably, this price drop also highlighted the resilience of Bitcoin’s short-term holder (STH) base. Glassnode data shows the STH cost basis, or the average purchase price for recent buyers, sits at roughly $111,600. This level has now been defended five separate times since May, making it an important pivot point in the present market cycle.
Long-Term Behavior Encourages Bullish Shift But Downside Risks Remain
At the same time, Swissblock notes that long-term holders (LTHs) have noticeably slowed their rate of distribution. While they continue to sell, the pace is far less intense than in previous months. This cooling of supply pressure allows new participants to accumulate with less resistance. Historically, such phases have marked the transition from distribution to accumulation, creating structural stability and setting up bullish continuation.
However, downside risks remain in that a resurgence of heavy selling could tip the balance and reintroduce fragility. However, as long as Bitcoin avoids slipping into a high-risk regime, the outlook favors resilience and upside potential.
At the time of writing, Bitcoin trades at $122,052, reflecting a slight 1.47% gain in the last 24 hours. Daily trading activity has also surged by 19.28%, reinforcing the strength and momentum behind the ongoing market rally. With a market cap of $2.43 trillion, Bitcoin continues to rank as the world’s largest cryptocurrency and fifth-largest asset.
Featured image from Flickr, chart from Tradingview
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Twenty One Capital CEO has projected that Bitcoin could increase by 200-fold in the coming years. The forecast came as BTC surged past $117,000 in the wake of the first Fed rate cut of the year. Twenty One Capital CEO Bets Big on Bitcoin’s Future In a NYSE TV interview, Twenty One Capital CEO Jack
The post Bitcoin Will 200x From Here, Twenty One Capital CEO Says as BTC Breaks $117K After Fed Rate Cut appeared first on CoinGape.
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Key takeaways
- BTC has reclaimed the $114k mark and is now targeting the $117k resistance level.
- The core Producer Price Index (PPI) dropped 0.1% month-over-month, increasing the chances of a Fed rate cut next week.
Bitcoin reclaims $114k
The cryptocurrency market has continued its excellent start to the week, with BTC and other leading cryptos currently in the green. Bitcoin reclaimed the $114k mark on Wednesday after adding 3% to its value over the past few days.
The positive performance comes following the PPI data release on Wednesday. The core Producer Price Index (PPI), which excludes food and energy, declined 0.1% month-over-month, which is lower than the 0.3% increase analysts expected. Annual core inflation eased to 2.8% from July’s revised 3.4%.
The decline in inflation could pave the way for the Fed to cut interest rates next week. The CPI data will be published on Tuesday, and this could strengthen the Fed’s resolve.
In an email to Coinjournal, XBTO’s Chief Investment Officer, Javier Rodriguez-Alarcón, stated that a Fed rate cut could spark Bitcoin’s next breakout. The analyst added that,
Macro conditions are also supportive: investors are widely expecting the Federal Reserve to begin cutting rates this month, which has lifted confidence across risk assets and reinforced Bitcoin’s role as a hedge.
At the same time, the SEC has unveiled a more crypto-friendly rulemaking agenda, and Cboe is preparing to launch new long-dated Bitcoin and Ethereum futures, showing how policy and market infrastructure are moving in tandem.
BTC targets $117k resistance level
The BTC/USD 4-hour chart is bullish and efficient as Bitcoin has been performing well over the past few days. The momentum indicators are also bullish, suggesting that BTC could be preparing for another breakout.
The RSI of 62 shows that buyers are in charge, with the MACD lines also within the bullish region. If the rally continues, BTC could surge past the first major resistance level at $117,424 in the coming hours or days. An extended bullish run would allow BTC to reclaim the $119k level.
However, the market might undergo a correction heading into the weekend. If that happens, BTC could retest the TLQ and support level at $110k in the near term.
Key takeaways
- BTC is approaching the $113k mark again as the bullish momentum grows.
- Surpassing the $113k resistance level could see BTC surge towards the $117k mark in the near term.
Corporate entities continue to buy more Bitcoins
The cryptocurrency market is having a positive start to the week, with most coins and tokens currently in the green. Bitcoin, the leading cryptocurrency by market cap, overcame the $107k low last week and is now trading close to the $113k mark.
BTC is up by 1.55% in the last 24 hours and is now trading at $112,900. The rally could see BTC surpass the $113k resistance level in the near term and rally higher over the next few hours.
The positive performance also comes as corporate entities continue to increase their exposure to Bitcoin. Michael Saylor’s Strategy announced on Monday that it acquired 1,955 BTC for $217.4 million at $111,196 per bitcoin and has achieved a BTC Yield of 25.8% YTD 2025. As of 9/7/2025, Strategy holds 638,460 $BTC acquired for $47.17 billion at $73,880 per bitcoin.
Strategy has acquired 1,955 BTC for ~$217.4 million at ~$111,196 per bitcoin and has achieved BTC Yield of 25.8% YTD 2025. As of 9/7/2025, we hodl 638,460 $BTC acquired for ~$47.17 billion at ~$73,880 per bitcoin. $MSTR $STRC $STRK $STRF $STRD https://t.co/QNIuAWRwEW
— Michael Saylor (@saylor) September 8, 2025
Japanese-based Metaplanet also added 136 Bitcoin to its reserves, increasing its total holdings to 20,136 BTC, valued at over $2.2 billion at current prices. According to the company, it purchased 136 bitcoins for 16.55 million Japanese yen ($111,830) per coin. Metaplanet is moving towards its target of hitting 30,000 Bitcoins before the end of the year.
BTC eyes $117k as bullish momentum grows
The BTC/USD 4-hour chart remains bearish despite Bitcoin’s recent positive run. The sentiment is, however, shifting bullish as buyers begin to dominate the market. The RSI of 63 shows that buyers are in control, and BTC could soon enter the overbought region.
The MACD lines are also within the positive territory, indicating a bullish bias. If the rally continues, BTC could break above the $113,541 resistance over the next few hours and target the $117k high. An extended bullish run would see BTC rally towards the $120k FVG.
However, the market could encounter a correction following the recent rally. If that happens, BTC could retest the $111k low over the next few hours.
Key takeaways
- Bitcoin climbed above $112k briefly on Wednesday after adding over 1% to its value.
- Traders are optimistic that BTC will reclaim the $117k resistance level soon.
BTC tops $111k as market sentiments improve
The cryptocurrency market had a rough start to the week, with BTC dropping below the $110k level on Monday. However, the sentiments have improved, with Bitcoin briefly climbing above $112k on Wednesday.
At press time, BTC is trading at $111,907 and could rally higher soon amid positive sentiment in the market. August saw BTC set a new all-time high, but it has struggled since then. Analysts are now looking ahead to September and what the month will offer for the leading cryptocurrency.
In an email with Coinjournal, Ruslan Lienkha, chief of markets, YouHodler, stated that the key macro catalysts for crypto heading into September remain U.S. inflation, interest rate policy, and labor market data. The interaction of these factors will largely shape overall risk sentiment and, in turn, the trajectory of both traditional and crypto markets.
While discussing how these events will affect the market, Lienkha stated that,
The recent sell-off reflects a combination of macro conditions and long-term positioning by large holders. We are entering the later stages of the current medium-term bullish cycle, which naturally encourages early investors, particularly those who have held Bitcoin for 10 years or more, to realize significant profits. By contrast, more recent whale entrants are likely to adopt a longer-term horizon, prepared to hold through one or even several future cycles. Overall, while whale activity has contributed, the dominant driver remains macro factors such as yields and shifting expectations around Federal Reserve policy.
BTC eyes $117k despite market volatility
The BTC/USD 4-hour chart is bearish and efficient, thanks to Bitcoin’s underperformance in recent days. However, the market could turn around soon as the momentum indicators improve.
The RSI of 49 shows that BTC is no longer experiencing heavy selling pressure, with the MACD lines set to confirm a switch to a bullish bias. If the recovery continues, BTC could climb above the 4H TLQ at $113,850 before rallying higher to reclaim the $117k resistance.
However, the momentum remains bearish, and BTC could face further selling pressure. If that happens, BTC could drop below $110k again and retest the $107k support level.
- Bitcoin (BTC) is down 1.8% but trades above $117,800 as traders take profits after recent all-time highs.
- AI-focused crypto tokens jumped 5% overnight as big tech firms like Google and Meta announced massive infrastructure investments.
- Google plans a $25B data center investment; a Trump-led summit saw over $90B in AI/data pledges unveiled.
Bitcoin has taken a slight breather as the East Asian business day gets underway, dipping 1.8% but still trading firmly above the $117,800 mark at the time of writing this article.
This pause comes as some traders take profits after a powerful run that saw the leading cryptocurrency push through multiple all-time highs.
While bullish sentiment remains strong, with some market participants calling for even higher price targets, seasoned observers are sounding a note of caution, warning that risks are building just as quickly as market enthusiasm.
A rally on pause?
The current market sentiment is a mix of unbridled optimism and underlying apprehension.
There is a palpable belief among some that the recent rally is just the beginning, with bold calls for Bitcoin to reach $160,000, $200,000, or even higher.
However, Lennex Lai, Chief Commercial Officer at the crypto exchange OKX, warns that this very enthusiasm could be a source of risk.
“Across platforms, we’re seeing an increase in aggressive long positions and widening funding rates as ‘Crypto Week’ headlines boost sentiment,” Lai told CoinDesk in an interview via Telegram.
He stressed that at these elevated levels, “risks can build quickly – escalation of trade tensions with the EU, Mexico, and other trading partners could trigger sharp corrections.
Another risk is letting euphoria drive decisions.”
Lai pointed to a slate of upcoming macroeconomic announcements that could sway global risk sentiment and set the tone for broader markets.
These include the UK Consumer Price Index (CPI) release, as well as the US Core Producer Price Index (PPI), retail sales figures, and consumer sentiment data.
Echoes of past volatility and a cautious professional class
Lai’s concerns echo the findings of a recent H1 2025 market report from K33 Research, which highlighted similar risks and volatility triggers earlier this year.
The report noted that geopolitical turmoil and trade policy uncertainty have already driven significant market swings, including a sharp 30% correction that saw Bitcoin fall to $75,000 earlier in the year.
The K33 report also observed that “Bitcoin struggled in this de-risking period but showed subtle hints of relative strength vs equities by outperforming equities in the aftermath of Liberation Day.”
A key indicator of underlying caution among seasoned traders has been the historically low funding rates seen amidst rising prices.
“Annualized funding rates averaged at 4.51% throughout the half-year, the lowest average half-year funding rate since December 31, 2022,” when the post-FTX crypto winter was at its coldest, the report stated.
This suggests that while prices have been rising, professional traders have remained wary of abrupt market reversals.
Lennex Lai emphasized the need for a disciplined approach in this environment. “In moments like this, smart traders focus on strategy over sentiment, using discipline to manage risk,” he continued.
“The excitement at the top is real, but those who manage their entries, exits, and funding exposure carefully are best positioned for whatever comes next.” After all, he concluded, “strong momentum doesn’t mean the market is invincible.”
AI tokens catch a bid as big tech doubles down on infrastructure
While Bitcoin consolidates, a different corner of the crypto market is experiencing a significant rally. AI-focused crypto tokens jumped by 5% overnight, pushing the sector’s total market capitalization to $29.6 billion, according to data from CoinGecko.
This move comes amidst a flurry of major announcements from U.S. tech giants regarding massive investments in AI and data infrastructure, sparking renewed investor enthusiasm in both traditional equity and digital token markets.
Google announced on Tuesday that it will invest a staggering $25 billion into data centers and AI infrastructure across the PJM electric grid, the largest in the United States.
The company also agreed to purchase 3,000 megawatts of hydroelectric power through a $3 billion deal with Brookfield. Not to be outdone, Meta is reportedly planning “hundreds of billions” in AI data center construction, including a multi-gigawatt facility in Ohio, codenamed “Prometheus.”
These blockbuster announcements were strategically timed around a Trump administration-led summit at Carnegie Mellon University, where over $90 billion in AI, energy, and data infrastructure pledges were unveiled.
This overwhelmingly bullish tone on AI, from both the government and private industry, appears to be spilling over into the crypto token markets, at least for now.
