Bitcoin Reclaims Bullish Zone as 96% of Holders Stay in Profit

Bitcoin enters bullish retest zone around $112.5K, while 96% of supply remains in profit—Glassnode data shows elevated pressure for next move.

Bitcoin has entered a critical retest phase after completing a breakout above $112,000, according to trader Merlijn. In a chart shared on August 1, he pointed to the $112.5K level as the “reload zone” for bulls, identifying it as a structurally strong support area. With BTC hovering around $114,000, this zone is shaping up to be a pivotal launchpad for the next wave toward the $130K level.

“This isn’t hype—it’s structure,” Merlijn stated, emphasizing that the crowd typically arrives at resistance, not before. He added that this range is where legends accumulate, marking it as a prime zone for forward-looking buyers to position before the next major move unfolds.

Meanwhile, market sentiment remains firmly bullish, with technical patterns aligning for a potential continuation to the upside.

Glassnode: Bitcoin holders sit on record profits—will they sell?

Supporting the case for high market optimism, on-chain analytics firm Glassnode reported that 96% of all Bitcoin supply is currently in profit. According to their Percent Supply in Profit oscillator, the metric has stayed above 90% for over a month—a rare signal historically seen near euphoric phases of bull cycles.

The firm cautions, however, that this elevated level could eventually increase the probability of profit-taking. “When nearly all holders sit on gains, pressure to realize profits builds,” Glassnode wrote. The 91% level represents a key statistical deviation, and a break below it could suggest a deeper reset.

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Still, at current levels, the market appears resilient. The fact that 96% of supply remains in profit without triggering major selling could signal that long-term holders are in control—and waiting for even higher prices.

Conclusion

With Bitcoin’s price action aligning with technical retests and on-chain metrics reflecting widespread profitability, the stage may be set for another rally. Analysts are watching the $112K–$115K zone closely, with $130K as the psychological target. As long as the supply-in-profit ratio holds, momentum may continue to build.