Report: Bitcoin Enters Healthy Consolidation Phase, Beware of Profit-Taking

According to a report by Jinse Finance, after a 32% drop from its historical high in January, the price of Bitcoin has risen by over 50%, reaching a new high of $111,880, and has now entered a healthy consolidation phase. Strong ETF inflows, soaring spot market participation, and positive net realized market value growth have driven structural buying in the market, rather than speculative excess. This resilience is drawing attention to Bitcoin's evolving role as a macroeconomically sensitive, conviction-driven asset, with its trading now more aligned with global liquidity flows rather than retail sentiment. Looking ahead, whether Bitcoin can continue to consolidate above its short-term holding cost basis (around $95,000) remains key. Given that short-term holders have realized profits exceeding $11.4 billion over the past month, a supply surplus is expected in the short term, but structural demand cannot be ignored. Strong ETF buying, low volatility, and spot premiums all indicate that the market is maturing and will eventually continue this momentum once the macroeconomic situation becomes clearer. In the coming weeks, Bitcoin's latest breakthrough may either be a local peak or a prelude to a stronger rally in the third quarter.