Bitcoin’s price ascent is encountering significant resistance around the $120,000 threshold as on-chain data reveals profit-taking activity from long-term holders.
This selling pressure from seasoned investors signals a strategic reduction in exposure at current levels. Concurrently, institutional entities, including Galaxy Digital, are observed adjusting their positions, highlighting that the current consolidation is not primarily driven by retail investor activity.
Market derivative metrics support the view of a cautious pause rather than a bearish reversal. The 7-day Aggregated Open Interest Delta has shown only a mild pullback, suggesting investors are selectively trimming positions rather than exiting the market entirely.
Furthermore, technical indicators point towards reduced momentum. Bitcoin’s Relative Strength Index (RSI) has moderated to 59, retreating from overbought territory and indicating diminished immediate buying pressure. The On-Balance Volume (OBV) indicator has also flattened near 1.76 million, reflecting a stall in new buying interest.
These combined signals suggest a temporary pause in Bitcoin’s upward momentum near the key $120,000 level as different investor cohorts adjust their strategies.