The bitcoin price paused on Tuesday after a strong rally pushed Bitcoin to its highest level since January. Bitcoin traded below $85,500 during the latest session. The move followed a 6.7% rise on Monday. Bitcoin reached $87,395 on Monday before pulling back. The recent move has attracted attention across the cryptocurrency market. Traders are now watching whether the rally can continue.
One key factor is rising profit-taking among Bitcoin holders. Santiment’s Network Realized Profit/Loss metric reached a one-year high. The metric tracks realized gains and losses from Bitcoin transactions. The sharp increase suggests that more holders are selling Bitcoin at a profit. This activity can increase short-term selling pressure. It also comes after Bitcoin recorded strong gains in a short period.
Despite the selling pressure, institutional demand remains strong. US-listed spot Bitcoin exchange-traded funds recorded $998.95 million in inflows on Monday. This marked the third straight day of positive inflows. Monday’s inflows were also the highest single-day positive flows since October 7, 2025. That day saw Bitcoin approaching its previous record levels. The latest ETF activity shows continued institutional interest in Bitcoin.
Corporate buying also supported the market. Strategy announced the purchase of 950 BTC on Monday. The purchase increased the company’s total Bitcoin holdings to 846,000 BTC. The company also repurchased $174 million of its Stretch preferred stock. Its reported reserves reached $6.09 billion in US dollar assets. These moves add another layer to the current Bitcoin market activity.
Technical indicators also remain important for traders. Bitcoin continued trading above its 50-day, 100-day, and 200-day exponential moving averages. These averages were positioned between roughly $72,600 and $75,400. Bitcoin also remained above the 38.2% Fibonacci retracement level. That level stood at $83,928 based on the $57,800 to $126,199 price move. The Relative Strength Index was around 69. This showed strong momentum without reaching an extreme level. The Moving Average Convergence Divergence indicator also remained positive.
faces several important levels as traders monitor the next move. Resistance levels were identified around $91,999 and $100,071. Higher resistance appeared near $111,562 and $126,199. On the downside, $85,000 was identified as nearby support. The $83,928 level also remains important. Deeper support areas include the moving average zone and levels around $73,942. The current market presents mixed signals. Profit-taking is creating short-term selling pressure. However, strong ETF inflows and corporate purchases continue to support demand.
Bitcoin’s next direction will depend on how these forces develop. Traders will also monitor price levels, institutional flows, and broader market conditions.
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