Recently, Bitcoin (BTC) reached a new all-time high, surpassing the $123K mark. Over the past three weeks, the asset has gained 21%, yet the crypto community is filled more with doubt than euphoria. Large institutional investors are steadily increasing their positions, while retail traders remain on the sidelines, waiting for a pullback.
Analysts believe this market will be long and exhausting, but still has the potential to hit $200K by the end of 2025.
Institutional Demand Replaces FOMO
Analysts at Bernstein, led by Gautam Chhugani, noted a shift in market dynamics. While retail traders previously fueled Bitcoin’s growth, today the market is driven by institutions. Regulation has become more transparent, banks and corporations are increasingly integrating digital assets, and stablecoins are gradually becoming the foundation for cross-border settlements. The stablecoin market is already approaching $250 billion.
According to Bernstein, around 50 million people currently use crypto wallets, and that number could grow significantly. Analysts also highlighted real-world asset tokenization as the next major trend.
Not Just Derivatives Are Growing
Glassnode data shows that the current BTC rally isn’t limited to derivatives trading. Since July 9, spot market volumes have increased by 50,3%, and futures trading is up by 31,9%. Experts interpret this as a sign of real demand entering the market, not just speculative activity.
However, both indicators remain below 2025 averages: spot volume is 23,4% lower, and futures volume is 21,9% lower. Market activity is picking up, but still remains cautious.
Large Wallets Register Record Inflows
CryptoQuant reports that Bitcoin accumulation addresses have added 248,000 BTC since the beginning of the year. This is the highest inflow of 2025 and exceeds the monthly average by 84,000 BTC. These addresses are known for only buying Bitcoin and never selling, even during price peaks. They now control around $30 billion worth of BTC.
Analysts view this accumulation as a strong bullish signal. However, if the market enters a correction, some of these addresses may start selling, losing their status as long-term holders. This would add pressure to the price.
Following the surge to $123K, BTC pulled back to its current level of $116K.
Liquidations Spike After the Rally
According to Coinglass, over the past 24 hours, the crypto derivatives market saw liquidations totaling approximately $499.34 million. Of this, $388.94 million were long positions and $110.4 million were short positions.
“Although many are eager to enter the market, there's a growing belief that BTC will drop to certain levels to provide better entry points,” Santiment noted.
Social Dominance and Liquidations Amid the Rally
Santiment analysts also observed a sharp rise in Bitcoin discussions across social media - the asset’s share of all crypto-related messages hit 43,06%. This surge occurred alongside the new price high. Such spikes usually indicate mass retail entry driven by FOMO, but this time the sentiment is different. Analysts say that instead of excitement, the prevailing mood online is fatigue and skepticism, which could actually suggest that the rally is far from over.
This post is for informational purposes only and is not an ad or investment advice. Please do your own research making any decisions.
