Bitcoin Holders’ Profits Dip as BTC Eyes $140K Target

Key Points: 

• Bitcoin needs to hit $140K for long-term holders to regain previous peak unrealized profit levels.
• BTC dominance grows as institutions favor it over altcoins; equities offer new exposure routes.
• $108,924 resistance and $105,500 support mark key levels for Bitcoin’s next major price move.

Long-term Bitcoin (BTC) holders are seeing a decline in unrealized profits, despite the asset trading near its all-time high. According to analyst @Darkfost_Coc, the average unrealized profit based on the MVRV ratio now stands at approximately 220%. This level is well below the 300% and 350% levels seen during previous market peaks in March and December 2024.

CryptoQuant data confirms that these profit levels are approaching those seen during the October 2024 correction. The realized price for LTH has now reached $39,000, underscoring that while the current profit margin remains substantial, the market has not yet reached levels that previously triggered broader distribution. To match past peak profit levels, Bitcoin would need to climb to approximately $140,000.

Bitcoin Market Dominance Strengthens as Institutions Stay In

Bitcoin’s share of the total crypto market cap increased by 1% in June, reaching a new local high within the ongoing market cycle. CryptoQuant analyst Axel Adler Jr noted that BTC’s recovery of dominance from altcoins “confirms BTC’s status as the digital equivalent of gold.”

Institutional interest continues to shape BTC’s current cycle. While previous cycles saw speculative flows into altcoins, Adler explained,

“Investors can now gain leveraged exposure to BTC not only through derivatives but also via public equities.” 

Companies like MicroStrategy and Metaplanet offer alternative access to BTC with varying risk profiles.

Key Resistance and Support Levels to Watch

Analyst Michaël van de Poppe outlined critical levels on the BTC price chart. Resistance is expected at $108,924, described as the “most crucial level.” A confirmed break above this area may accelerate the price toward the next resistance at $110,545, near Bitcoin’s all-time high. The previous push above $106,500 led to quick gains toward $108,000.

On the support side, BTC recently bounced at $105,797, a key area after a liquidity sweep. Below this, $105,500 is seen as a level where another long-side liquidity event could occur. If price falls further, $100,426 is being monitored as a potential entry zone for buyers.

At the time of writing, Bitcoin price was trading at $107,780, showing a 0.95% increase over the past 24 hours and a 1.01% gain in the past week. Trading volume in the same period reached $27.3 billion.