Bitcoin Eyes Big Move as On-Chain Signals Flash

Bitcoin consolidates at $113K as fresh liquidity, record accumulation, and key on-chain alerts signal a potential breakout ahead.

Accumulator wallets hit 298K BTC while stablecoin strength grows, showing strong conviction despite political and macro uncertainty.

Short-term holders remain underwater at $109,775 yet analysts note shutdown-driven dips could spark fresh buying opportunities soon.

Bitcoin traders are on edge as the cryptocurrency consolidates around $113K after last week’s steep drop from $115K to $108K. Analysts at CryptoQuant outlined five critical on-chain alerts that could define the market’s next move. Their data suggests that fresh liquidity, record accumulation, and a key technical setup are colliding with macro uncertainty.

Besides, the tension is heightened in Washington where Congress has hours left to avoid a government shutdown. Political delays could stall economic data releases, clouding sentiment for risk assets like Bitcoin and Ethereum. As of writing, Bitcoin trades at $113,157 while Ethereum trades at $4,123.

Five Alerts to Watch

CryptoQuant flagged five crucial alerts. First, USDT market cap is climbing, with a 60-day rise of $10 billion. Hence, liquidity is clearly flowing into the market, which historically supports bull phases.

Additionally, the Stablecoin Supply Ratio RSI now sits at 21, firmly in “buy” territory. This metric tracks the buying power of stablecoins relative to Bitcoin, suggesting firepower for further rallies.

Moreover, accumulator addresses hit a record 298K BTC. These wallets only buy and never sell, reflecting strong conviction among long-term holders.

However, the Inter-Exchange Flow Pulse remains in a downtrend. This indicator tracks BTC movement between spot and derivatives platforms. A reversal here could spark new bullish momentum.

Consequently, Bitcoin remains under pressure as short-term holders are underwater. The coin trades below the realized price of $109,775, a level crucial to reclaim.

Market Sentiment and Political Risks

Beyond on-chain activity, politics add another layer of uncertainty. Prediction markets show 85% of users expect heavy selling early this week.

However, Ledn CIO John Glover urged caution against panic. He noted past shutdowns under Trump triggered only temporary weakness. “The market will consider any dip in digital asset prices due to a shutdown as a buying opportunity,” he said.

Bitcoin’s next move depends on both technical conviction and political clarity. On-chain strength is clear, but macro risks could dictate timing.

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