Bitcoin (BTC) has experienced a four-day consecutive pullback, falling from $110,000 to $104,000. Despite this dip, market optimism remains high, supported by strong on-chain demand signals that rival levels seen in previous bull markets. According to CryptoQuant analyst Axel Adler, Bitcoin has attracted over $1.8 billion in net capital flows recently—a figure comparable to inflows during the peak of the 2021 bull market.
Whale accumulation is significant, with around 20,000 BTC acquired by large holders over two days and more than 50,000 BTC withdrawn from exchanges, indicating accumulation rather than selling. Bitcoin exchange net flow has remained negative for seven consecutive days for the first time in 2025, highlighting strong buyer interest.
Short-term holders appear to be holding steady despite the recent price drop, and selling pressure remains muted. This suggests the retracement is driven more by macroeconomic factors than by panic selling, reinforcing a broader bullish market structure.
The weekly chart shows Bitcoin consolidating just below its all-time high of $112,000, with support holding strong around $103,600 to $105,000. Volume remains stable, signaling a healthy pause rather than a sell-off. If Bitcoin sustains demand and breaks above $109,300, it could rally toward $120,000. However, a drop below $103,600 might lead to further correction.
Despite global economic uncertainties, including rising U.S. Treasury yields and geopolitical tensions, Bitcoin is seen by many investors as a hedge against inflation and monetary instability. The sustained capital inflows and strong on-chain metrics indicate investor confidence is underpinning Bitcoin’s price prospects.