#BitcoinMarketAnalysis

The recent rise in Bitcoin’s profitable supply and the stabilization of market sentiment suggest that the conditions for another rally may be forming.
The share of BTC supply currently in profit meaning coins bought at lower prices than today’s has been increasing steadily.
Historically, this phase tends to align with the early stages of a bullish cycle, where optimism returns but euphoria hasn’t yet taken hold. When roughly 70–85% of Bitcoin’s circulating supply is profitable,
it often indicates a healthy market recovery phase, as holders feel confident yet remain cautious.
Only when nearly all coins are in profit does the market typically enter overheated territory.
At the same time, sentiment indicators such as the Fear & Greed Index and funding rates in derivatives markets show that traders are relatively balanced.
After a period of overexcitement earlier in the year, speculative leverage has declined, and volatility has compressed.
This usually signals that the market has reset and is ready for a more sustainable move. On-chain data supports this picture exchange balances continue to decline, suggesting long-term holders are not selling, while miner selling pressure has eased since the halving. Additionally, large holders, or “whales,” have resumed moderate accumulation, a behavior that often precedes price appreciation.
Macro conditions are also becoming more supportive. Inflation expectations are softening, central banks are expected to shift toward a more accommodative stance in the coming quarters, and ETF inflows remain steady. This combination of stronger fundamentals, investor confidence, and improving liquidity forms a solid backdrop for Bitcoin. However, there are still resistance levels to overcome notably in the $70,000 to $75,000 range. A decisive breakout above that zone would confirm renewed bullish momentum, while failure to hold key support around $60,000 could trigger a temporary pullback before the next leg higher.
Overall, Bitcoin appears to be in a constructive position. Rising profitable supply, neutral-to-positive sentiment, and healthy on-chain trends point to an accumulation-driven market poised for gradual upside. If macro conditions remain stable and institutional inflows continue, Bitcoin could very well be preparing for another rally phase one driven less by hype and more by solid fundamentals and improving investor confidence.