Bitcoin Price Builds Support on Dips, Can $116k Break Unlock the Next Rally?

Bitcoin price is trading in a tight range, coiled between heavy accumulation and strong resistance. As the price hovers around $114k, both technical and on-chain data suggest an inflection point is near. With demand from long-term holders soaring and short-term momentum indicators showing weakness, the crypto market braces for a decisive move. The $116k level is now the focal point for bulls and bears alike. Join me as I take you through on-chain metrics and analyst views in this write-up.

BTC Cost Basis Heatmap:

Glassnode’s Cost Basis Distribution Heatmap shows a staircase-like pattern between $109k and $116k, filled progressively over the last month. This steady buying pressure illustrates growing investor confidence, especially as dips into this range are consistently absorbed. Meanwhile, the $118k–$120k zone shows little sign of distribution, implying that holders are not willing to exit at these levels, suggesting a “wait-and-hold” mentality.

According to Alva, BTC is in a classic squeeze zone, compressed between stepwise support and a thick resistance wall. Options activity is heating up, indicating at an imminent move. Although recent ETF outflows and miner profit-taking near $117k caused some hesitation, macro narratives like BTCFi adoption and traditional finance interest continue to offer strong tailwinds. The AI warns that if BTC doesn’t reclaim the $116k mark soon, oversold indicators like the CRSI could invite volatility and a swift drop to lower support levels.

Demand from Accumulator Addresses:

CryptoQuant data shows that accumulator addresses are more active than ever in 2025. The 30-day net accumulation has surged past 320k BTC, showing renewed confidence in BTC’s long-term upside. Since May, price action has closely followed the trajectory of accumulator demand. This strong base of buyers provides a safety net, especially if price revisits the $110k–$112k range. Which Glassnode and the AI agent both view as a “brilliant” accumulation zone.

The alignment of increasing long-term demand and layered cost basis support reinforces the argument for an upward breakout, should BTC cross above the $116k threshold.

Michael Pope: Eyes on $115k–$116k Resistance

Crypto analyst Michael Pope highlighted BTC’s recent failure to crack $115k, calling it the “first real resistance.” While the structure looks bullish, a confirmed breakout above $116k is essential to shift momentum. Pope notes that the previous rejection was minor and suggests another attempt is likely. If successful, BTC could swiftly move back into the $118k–$120k range, reigniting talk of a new all-time high.

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