Bitcoin Spot Demand Increases As Short-Term Gains Slow: Market Dynamics Change

Bitcoin (BTC) is still demonstrating market strength, trading close to all-time highs despite a temporary pullback. Having hit a 24-hour high of $106,518, Bitcoin retraced slightly to $104,820, representing a 0.5% drop in the past 24 hours. The asset is still just 3.8% off its all-time high of $109,000 from January 2025.

As these price movements unfold, changes in exchange trading patterns are beginning to manifest — notably on Binance, the globe's top crypto exchange.

Binance Spot Volume Indicates Fresh Buying Interest

As per CryptoQuant analyst Darkfost, Binance's spot net volume delta has gone positive, signaling the increase in Bitcoin spot demand. This gauge, which measures the net volume discrepancy between buying and selling on spot markets, tends to show shifting sentiment among traders.

Whereas earlier surges in Binance spot volumes coincided with market peaks, usually fueled by FOMO and profit-taking, the rise this time seems more gradual and measured — a sign of solid buildup and not overheating.

"When spot volumes rise too fast, it's something to watch out for. But steady rises indicate interest that will last," Darkfost observed.

Binance, responsible for more than 26% of the world's spot trading volume, remains an integral market sentiment driver. Traffic on the platform becomes increasingly noteworthy as Bitcoin hovers around psychological levels such as $100,000, affecting general trader sentiment.

MVRV Divergence Identifies Short-Term Selling Pressure

In another CryptoQuant analysis, analyst Crazzyblockk considered the MVRV (Market Value to Realized Value) momentum of short-term and long-term holders of Bitcoin.

Although both groups are now parked on solid unrealized gains, the report discovered short-term holder MVRV momentum has fallen — a possible warning sign. The indicator shows newer buyers are perhaps not harvesting anticipated profits, increasing the chances of short-term sell pressure or impatience-led exits.

The difference in short- and long-term MVRV momentum is usually taken as the signal that leads to volatility, especially when long-term holders start dispersing profit at higher levels and newer players start facing the pinch.

Outlook: Bitcoin Set to Show Resilience Amid Confusion

Despite these warning signs, the larger market dynamics are still in its favor. The demand level for bitcoin is slowly increasing on large exchanges such as Binance, indicating that sentiment is running positive. In addition, since MVRV isn’t high, Bitcoin is not in danger of being overbought.

With institutions still buying, gradually increasing bitcoin trading volume and stable macro trends, bitcoin might continue going up.

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