Although Bitcoin (BTC) has surged more than 20% over the past month – partly due to easing global tensions surrounding a potential US-China tariff war – some investors are beginning to question whether the bulk of the upside is already priced in. However, fresh data suggests that the rally may be far from finished.
According to a recent CryptoQuant Quicktake post by cryptocurrency investor Crypto Dan, Bitcoin remains firmly in an uptrend despite the notable price increase over the last month. The analyst pointed to the “realized price” as a critical indicator for assessing the market’s direction.
Crypto Dan shared the following chart comparing BTC’s market price to its realized price – a metric that represents the average price at which all coins in circulation were last transacted. Historically, whenever the realized price begins to decline, Bitcoin often sees a sharp correction – shown by the red arrows on the chart.
However, the current scenario looks notably different. As highlighted in the yellow circle on the chart, the realized price continues to rise alongside BTC’s market price. This upward trend suggests that the broader cryptocurrency market is still in bullish territory.
Crypto Dan explained that one of the reasons behind the price surge is the increasing number of market participants that are willing to buy BTC at a higher price. The analyst added:
In particular, institutions like Strategy and others are purchasing large amounts of Bitcoin through vehicles like spot exchange traded-funds (ETFs), causing an influx of capital that continues to drive the realized price higher.
