Asia Crypto Morning: Bitcoin Struggles to Break $105K as Analyst Warns of ‘Overheated’ Market

Bitcoin Holds Steady Above $105K Amid Signs of Overheating, Says CryptoQuant

As Asia kicks off the week, Bitcoin (BTC) maintains a firm position just above $105,000, showing limited movement with a modest 0.4% change over the weekend and subdued trading volume.

While the overall market sentiment stays bullish, CryptoQuant’s latest report raises caution about an “overheated” Bitcoin market. Demand over the last 30 days has climbed to 229,000 BTC—approaching the December 2024 high of 279,000 BTC. Meanwhile, whale wallets have increased their holdings by 2.8%, which often signals a deceleration in buying momentum.

These indicators suggest that the recent rally pushing BTC close to its all-time high of $112,000 may be nearing a pause or short-term peak.

CryptoQuant highlights $120,000 as the next significant resistance, corresponding with the upper limit of the Traders’ On-chain Realized Price metric, where unrealized gains would reach 40%. Historically, this level has marked local tops in Bitcoin’s price.

Despite this, the Bull Score Index remains strong at 80, pointing to ongoing bullish pressure. However, rising profit-taking and slower demand growth hint that traders could face a consolidation phase before any further upside.

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Market Snapshot:

• BTC: Rebounded between $103,800 and $105,300 amid volume spikes.
• ETH: Bounced back from $2,472 to $2,527 on strong buying.
• Gold: Up 0.6% at $3,311, supported by ongoing economic uncertainties.
• Nikkei 225: Dropped 0.89%, reflecting tariff-related concerns.
• S&P 500 Futures: Fell slightly after May’s robust gains amid trade policy uncertainty.