Bitcoin Bounces Back: Rising Demand Signals Market Confidence

Bitcoin (BTC) is showing signs of a comeback, currently trading less than 3% below its all-time high. After hovering around $105,000 since late May, this price surge indicates growing momentum. It also reflects renewed confidence among investors, many of whom are eager to increase their Bitcoin holdings.

Buying Pressure Indicates Steady Bitcoin Growth

CryptoQuant, an on-chain provider, has observed a noticeable increase in Bitcoin purchases, particularly among US-based investors. Such renewed buying activity often reflects a hidden phase of accumulation and signals a positive outlook on the asset’s future performance.

The data provider further revealed that this buying surge is similar to a usual pattern seen after market corrections, where investors accumulate assets steadily without excessive speculation. Such behaviour suggests the current rally is balanced and not driven by irrational exuberance.

In another post, CryptoQuant added that after several months dominated by selling, buying pressure has returned strongly. Typically, when buying takes over like this, it often leads to strong price increases.

Retail Investors Return Amid Growing Optimism

On-chain analytics firm Santiment revealed that retail traders showed signs of panic selling when Bitcoin’s price threatened to dip below $100,000. However, current market data suggests these same investors are now re-entering, driven by a sense of urgency commonly known as Fear of Missing Out (FOMO).

The Fear and Greed Index also supports the growing FOMO, rising from 62 yesterday to 71, indicating a growing appetite for Bitcoin among investors. Higher readings on this index often correlate with more aggressive accumulation.

Institutional Buying and Technical Signals Point to Growth

Interest from larger players is also gaining momentum. The Smarter Web Company, a London-based technology firm, recently added more than 45 Bitcoins to its treasury, increasing its total holdings to over 168 Bitcoins. Similarly, last month Trump Media & Technology Group announced plans to raise $2.5 billion specifically to invest in Bitcoin, while GameStop confirmed a purchase of 4,710 Bitcoins. When large companies buy significant amounts of Bitcoin, it usually strengthens the market by bringing serious capital and confidence.

Glassnode, a market data provider, observed signs of short liquidations in the derivatives market following Bitcoin’s recent price surge—highlighted in their post on X. This reflects traders who bet on a downturn being forced to buy back and cover their positions.

Additionally, the premium on long positions and the volume of futures contracts being traded have both risen, showing more traders expect the price to climb. Despite these increases, the overall funding rates remain modest, suggesting the market is not yet overheating.

With all this growing interest from both everyday investors and big institutions, Bitcoin’s momentum could continue to build. Crypto analyst Jelle predicts Bitcoin could reach between $140,000 and $150,000 in the near future. BTC is showing clear signs of recovery, with the price nearly back to its all-time high and both individual buyers and institutions stepping in. Retail traders who once panicked are now coming back with a sense of urgency, and the market is showing healthy buying pressure without being overly risky. Given the current momentum, a new all-time high may not be far off.