Bitcoin Breaks Above $113,000...But There Is A Catch

Bitcoin BTC/USD has punched through the $113,000 mark, igniting fresh bullish momentum across the crypto market, but some experts caution the rally may be short-lived.

What Happened: Crypto trader Jelle compared the move to "a ball breaking above the surface," and suggests it's finally time for Bitcoin to soar.

But not everyone is convinced the path higher will be smooth.

CoinBureau co-founder Nic Puckrin told Benzinga that this breakout wasn't unexpected, given Bitcoin's recent low volatility and ongoing correlation with tech stocks like Nvidia, which just crossed a $4 trillion market cap.

Puckrin cautions that heavy resistance lies just ahead and warns that profit-taking around $115,000 could cool the momentum.

He emphasized this move likely isn't the final run-up of the cycle, but rather a "pressure release," possibly followed by a correction and slower summer trading before the next major leg higher.

Also Read: Bitcoin’s Booming – Coinbase’s 167% Rally Says ‘Told You So’

Why It Matters: According to CryptoQuant analyst Axel Adler Jr., long-term Bitcoin holders (LTHs) have a history of selling when their unrealized profits reach 300%, often triggering short-term corrections.

This behaviour was evident during the earlier selloffs near $73,000 and $106,000.

At the current cost basis, Adler estimates Bitcoin would need to hit $137,600 before reaching that 300% unrealized profit threshold again. Until then, some gradual selling may occur, but a major LTH exodus seems unlikely just yet.

Adler also pointed out that BTC typically hits a new all-time high within 50 days of the last one—as long as a 20%+ correction doesn’t occur—suggesting more upside could follow if momentum holds.

Glassnode reports that a majority of BTC wealth is now held by newer long-term investors. Short-term holder activity remains minimal, reinforcing a more structurally bullish backdrop.

Read Next:

• Bitcoin’s Rally To $112,000: Yes, It’s Different This Time

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