Bitcoin surged to a new all-time high today, reaching $106,533 and solidifying its position as the market leader in this ongoing bull run. The price action has been exceptionally bullish, offering only three quick chances for investors to buy small dips in recent weeks. This relentless upward momentum has captivated the market as BTC continues to lead the way in the current cycle.

CryptoQuant analyst Maartunn recently shared intriguing insights about the drivers behind this historic move. According to his analysis, the Coinbase premium gap has significantly narrowed. This metric, which measures the difference between BTC prices on Coinbase and other exchanges, indicates that U.S.-based institutional and retail demand might not have been the primary force behind the recent rally. Instead, other market participants or regions could fuel Bitcoin’s push into price discovery.

With BTC showing no signs of losing steam, market participants closely monitor its next moves. Will BTC consolidate above $100,000 or continue its trajectory toward higher targets? As the rally unfolds, this breakout underscores the global nature of Bitcoin’s adoption and the diverse drivers influencing its price dynamics in this historic bull cycle.

Bitcoin has been a relentless force over the past six weeks, with each price surge accompanied by a rise in the Coinbase premium gap. This metric, which reflects the difference between BTC prices on Coinbase and other exchanges, is often seen as an indicator of U.S.-based demand. However, the recent rally above $106,000 has broken this trend, hinting at a significant shift in market dynamics.

CryptoQuant analyst Maartunn shared key insights on X, pointing out that the Coinbase premium gap dropped even as Bitcoin’s price climbed. This deviation from the norm suggests that the latest bid pushing BTC into price discovery didn’t originate from Coinbase investors. 

Instead, the demand appears to be coming from another exchange. Maartunn says this is a surprising development, as such behavior hasn’t been observed for several months.

While Maartunn speculates that major exchanges like Binance could drive the current demand, the possibility of over-the-counter (OTC) operations contributing to the rally is less likely. Regardless, this shift underscores the global nature of Bitcoin’s market and how diverse participants can influence its trajectory.

The change in demand source raises questions about what’s fueling Bitcoin’s current run. Is this a sign of broader institutional interest outside the U.S., or are retail investors from other regions stepping in? As BTC continues to push into uncharted territory, tracking these metrics will be crucial in understanding the forces shaping the market.

Bitcoin is trading at $104,900, just shy of its new all-time high of $106,533 set earlier today. This milestone was accompanied by the highest weekly close in Bitcoin’s history, recorded at $104,427, further solidifying the market’s bullish sentiment. Price action has now entered uncharted territory—a phase historically associated with explosive growth as momentum builds and market participants anticipate further gains.

Holding above the $100,000 psychological level in the coming days is crucial. If BTC maintains this support, it could set the stage for a massive rally, potentially surpassing analysts’ most optimistic targets. Key metrics such as strong on-chain activity, rising accumulation among whales, and low exchange reserves add to the bullish case.

However, the stakes are equally high on the downside. A failure to hold the $100,000 mark could trigger short-term corrections, inviting opportunistic traders to capitalize on the volatility. Still, with Bitcoin’s historical tendency to thrive in price discovery phases, market sentiment leans heavily toward continued upside.

Featured image from Dall-E, chart from TradingView

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