CryptoQuant said Bitcoin has entered the early stage of a new bull market after a 24% advance, with key on-chain and demand indicators now flashing bullish signals. The firm’s Bull Score index climbed from 30 to 80 over the past week, its highest reading since October 2025, while eight of its 10 tracked indicators turned positive. Bitcoin briefly moved above $80,000 during the rally, but CryptoQuant said a weekly close above the 365-day moving average, now around $83,000, is still needed to confirm a new bull market transition. LMAX Group market strategist Joel Kruger said Bitcoin’s next major level is the May 2026 high of $82,820. A break above that level, he said, would strengthen the case that a cycle bottom is already in place and could open the way toward $100,000 and the 2025 record high. Even so, CryptoQuant warned that the short-term move may be overheating as unrealized trader profit margins, whale profit-taking by short-term holders, and exchange inflows have all risen to recent highs.
CryptoQuant said Bitcoin has entered the early stage of a new bull market after a 24% gain, with key on-chain and demand indicators turning bullish.
The firm said its Bull Score index jumped from 30 to 80 over the past week, the highest level since October 2025. Eight of the 10 indicators in the model are now showing bullish readings.
Bull-market case hinges on key levels
Bitcoin briefly moved above $80,000 during the rally. CryptoQuant said a weekly close above the 365-day moving average, currently around $83,000, is still required to confirm the transition into a new bull market.
Joel Kruger, market strategist at LMAX Group, said Bitcoin’s next major hurdle is the May 2026 high of $82,820. A move above that level would strengthen the view that a cycle bottom has formed and could push the price toward $100,000 and then the 2025 all-time high.
Short-term overheating risks remain
Despite the broader bullish setup, CryptoQuant warned that the recent advance may be overheating in the short term.
Trader unrealized profit margins have reached 20.5%, the highest since June 2025. Whales classified as short-term holders realized about $1.2 billion in profits between Aug. 20 and Aug. 22, including a record $614 million on Aug. 20 alone.
Bitcoin exchange inflows also climbed to about 53,000 BTC, the highest since June, suggesting that more coins are being moved onto trading platforms.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
